Iraq Pipeline Summary

2012

Irak Pipelines

• Oil Distribution Network with 5 pipelines where 2 of them are closed

1. SP1: reversible domestic pipeline initial desing capacity is 800.000 bbl/d but handle only 200.000 bbl/d meanwhile• Kekük to Gulf or Rumelia To Kerrkük

Ceyhan• Eirther region to Bağdat

2. Irak-Türkiye: Kuzey petrollerini Ceyahna taşıyor

3. Southern Distribution System:• Rumelia, WQ, Zubair oils to Gulf

4. Kerkük-Banias/Tripoli (Lebenon): 2 paralel pipeline

• Tripoli capacity is 500.000 bbl/d but out of operation

• Banias capacity is 580.000 bbl/d but out of operation

5. Iraq- Suudi Arabia: Southern fields to Red SEA

• The project was shut down in 1991 war

ZEY, 2011

Pipelines of Iraq

Design Capacity

Planned and Proposed Lines1. Strategic Pipelines (yellow)

• Rumalia to K3• K3 to Agabe Jordan• K3 to Latakia Syria

2. Connecting Lines• 7 new pipelines connecting depos and/or fields

3. Basra – Haditha pipeline (pink)• Mirror the strategic pipeline adding 1.75 million

bbl/d of capacity• Split into two:

• with one line going to Syria • other tying into Kerkük to Ceynhan

4. Heavy oil Project (blue)• Expected capacity 1.5 million bbl/d run from Basra

to north of Baghdad may extend to Syria• Project includes a gas pipeline, LPG pipeline and oil

depots

5. Products pipeline• Export pipeline from existing and 4 proposed

refinery projects• Location is not defined

6. Southern Distribution System and Expansion• İncreasing capacity of BOT to 4.5 million bbl/d

K3

Exp. Capacity 1.5 million bbl/dBasra to north of

Baghdad

Exp. Capacity1.75 million bbl/dBasra to Haditha

Strategic Pipelines

Rumalia to K3

Export Capacity

Capacity million b/d System

0.7 The Iraqi- Turkish line

1.6 Al Basra Port

0.5 Al Amaya Port

2.8 Total

Total export capacity of the current systemCapacity million b/d System

1.6 The Iraqi- Turkish line

1.6 Al Basra Port

0.5 Al Amaya Port

3.2 Iraq crude oil export expansion project

6.9 Total

Total export capacity of the new future projects system

2014 2017Increase crude oil production 4.5 MM bbl/d 6 MM bbl/d

Increase crude oil export 6.5 MM bbl/d 12 MM bbl/d

Increase gas production 2.7 Bcf/d

Investment needed to increse crude oil production

15 billion USD $

2010 2011 2012 2014 2017

MoO 3.0 million bbl/d 3.5 million bbl/d 3.0 million bbl/d 6.5 million bbl/d 12 million bbl/d

•The combined plant capacity of the two is 3.45mbd via two 48-inch subsea pipelines to BOT (1.5-1.6mbd operable) and three pipelines from Fao to KAA (300kbd).

Irak Production and Export Capacity

• Hali hazırda Kerkük-Ceyhan kapasitesi 1.6 milyon bbl/d

• MoO is planning to increase southern export capacity from 1.7 million bbl/d to 4.5 million bbl/d

• Iraq-Suriye pipeline politically feasible?• 2.75 milyon bbl/d heavy oil carrier (especially Qaiyarah and Najmah

fields,)• 1.5 milyon bbl/d light

MoO Planned Production and Southern Export Capacity

4 Temmuz 2007 17 Ağustos 2011 25 Ağustos 2011

Owner INOC or Company defined by MoO Federal Goverment Federal Goverment

Operator INOC Competent Body INOC

KRG for the infrastucture: 1. KODO: The Kurdish Organization of

Downstream Operations2. oversee and regulate all infrastructure3. Provide necessary assitance to Federal

Goverment for the benefit of all people of Iraq as agreed between FG and RG

4. Make any pipeline nework capacity to any body lawfully conducting petroleum activities in Iraq

ZEY, 2011

Deloitte