Iraq oil output drops 80% as Hormuz disruption halts exports

2026-03-25 - 15:31

Shafaq News- Baghdad Iraq’s oil production has fallen by about 80% to around 800,000 barrels per day (bpd), down from roughly 4.3 million bpd before the war in Iran disrupted exports through the Strait of Hormuz, Iraqi energy officials told Reuters on Wednesday. Officials said Iraq ordered further production cuts this week, including reducing output at the Rumaila field to about 350,000 bpd from around 450,000, and lowering production at the Zubair field by 70,000 bpd from current levels of 330,000. Earlier this month, economic expert Nabil Al-Marsoumi said that Iraq, OPEC's second-largest producer, has cut its oil production by about 2.9 million bpd, making it the country with the largest production reduction globally. The developments come amid escalating strikes on energy infrastructure across the region since February 28, including US and Israeli attacks on Iran’s South Pars gas field. Energy expert Mazen Al-Saad told Shafaq News that Iraq’s reliance on oil revenues, accounting for about 90% of the economy, along with disruptions in the Strait of Hormuz and tightening storage capacity, could expose the country to economic pressure and export constraints if the conflict continues. Read more: Energy war nears Iraq: Oil infrastructure faces rising threat