Iraq loses $128 million a day as Rumaila and Kurdistan oil output halts
Mar 3rd 2026
An Eco Iraq Observatory estimate says about 1.6 million barrels per day are offline after production at Rumaila and Kurdistan fields stopped, costing Iraq roughly $128 million daily at $80 a barrel and risking much larger fiscal hits if the halt continues.
- Rumaila produces about 1.4 million barrels per day and Kurdistan fields about 200,000 barrels, leaving roughly 1.6 million barrels offline.
- At $80 per barrel the Eco Iraq Observatory estimates losses of about $128 million per day, nearly $900 million for one week and more than $3.8 billion for a month.
- The suspension is blamed on full storage tanks, worsening security in the Kurdistan Region and disruption of exports through the Strait of Hormuz.
- Economists warn shutdowns raise costs beyond lost sales because of technical shutdown and restart expenses and the risk of losing long-term customers.
- Short-term measures recommended include using available storage and selling future cargoes through short-term contracts to secure advance payments.
- Longer term fixes urged are rescheduling nonessential financial obligations, boosting Baghdad-Erbil security coordination, diversifying export routes such as reinvigorating Kirkuk-Ceyhan and expanding strategic storage capacity.