Iraq to sign preliminary oil pipeline deal with three-company US-led consortium

BAGHDAD, Iraq — Iraq's Council of Ministers has authorized the state-owned Basra Oil Company to sign a preliminary agreement and confidentiality pact with a US-led consortium led by Capital TI for the construction of an oil pipeline. The consortium also includes Chevron and UAE-based UCC Holding, according to the cabinet decision. If the talks are successfully concluded, the parties will move on to final investment and engineering work. The project is intended to transport crude from oilfields around Basra more efficiently and to support Iraq's broader goal of expanding southern production and adding new export routes. The cabinet said the preliminary deal will cover work on the pipeline's route, capacity and technical specifications, with construction expected to follow once a final contract is signed. The agreement is part of Iraq's strategy to modernize its energy infrastructure and attract foreign investment, the statement added. Officials noted that the preliminary arrangement includes mutual commitments from both sides but has limited legal binding force. No further details on the timeline or financial terms were immediately available.