The Truth Behind Iraq’s Oil Rebound And The Secret Red Sea Plan
No country aside from Iran itself has felt the economic consequences of the U.S./Israel-Iran war more than Iraq. Over 90 percent of its annual budget historically comes from oil and around 95 percent of that historically had to pass through the Strait of Hormuz before it could be monetised. When Iran closed the strait on the first day of ‘Operation Epic Fury’, that vital oil transit route was…
When Iran closed the Strait of Hormuz following Operation Epic Fury, Iraq lost its vital oil transit route, causing its oil production and exports to plummet. Although there were temporary agreements in place, most global shipping firms refused to send their vessels into the Gulf due to high insurance premiums and threats from sea mines.
The lack of a large national fleet meant Iraq remained reliant on third-party owners, leading to an 80 percent drop in oil production. Despite rebounding official figures, Iraq's oil sector remains fragile, with long-term damage to production wells and logistical challenges in transporting oil.
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