Iraq, US sign MoUs to capture flared gas

16-04-2024
Rudaw
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ERBIL, Kurdistan Region - Iraq and the United States on Monday signed memoranda of understanding (MoUs) to capture flared gas and transform into electricity, the two countries announced following high-level meetings in Washington DC.

“To allow Iraq to benefit from the U.S. private sector’s leading technology and expertise, the United States and Iraq announced the signing of new memoranda of understanding (MOUs) to capture and process flared gas and turn it into usable electricity for the Iraqi people,” read a joint statement following the US-Iraq Higher Coordination Committee (HCC) meeting.

US Secretary of State Antony Blinken co-chaired a meeting of the HCC with Iraqi Deputy Prime Minister and Minister of Planning Mohammed Ali Tamim in Washington DC on Monday. The committee meeting took place after the US secretary of state met with Iraqi Prime Minister Mohammed Shia’ al-Sudani earlier in the day.

“The two sides stressed the importance of resuming oil exports via the Iraq-Turkiye Pipeline (ITP),” added the statement.

Iraq is still one of the world’s largest gas flaring countries. The flaring process is when oil wells burn the excess gas they can't store or use, and is a convenient way to deal with the waste product known as associated petroleum gas, however, the process is among the main reasons for global climate change.

The World Bank estimates that Iraq flares around 17 billion cubic meters of gas every year, worth around $8 billion annually. The practice causes severe environmental damage and remains a serious risk to the well-being of people living close to flaring sites, from Basra to the Kurdistan Region, where refugee camps are particularly vulnerable locations. 

Flaring also releases toxic pollutants that are known to harm human health, such as benzene, which is a carcinogen that is known to cause leukemia. Communities living near flared gas sites are at particular risk because they emit a deadly mix of carbon dioxide, methane, and black soot, which is highly polluting.

Oil is Iraq’s main source of income, relied on to cover government costs and pay civil servant salaries. The country pocketed $97.5 billion from oil sales in 2023, a significant decline from 2022’s record-setting $115 billion.

While delivering a speech at the al-Rafidain Forum for Dialogue in Baghdad last month, Iraqi Prime Minister Sudani said that the country seeks to completely end gas flaring within three to five years.

In August, Sudani opened the isomerization unit at Baiji refinery, which works on enhancing the value of oil products by changing their molecular shape and raising the octane rating.

Ahead of the HCC meeting, Blinken said that the American private sector is interested in “engaging, investing, and lending its expertise to Iraq,” especially in the energy sector.

The US also commended Baghdad for working on “ increasing regional connectivity, particularly in energy interconnections with Jordan, Saudi Arabia, and countries of the Gulf Cooperation Council,” with the two sides also discussing “Iraq’s interest in the peaceful use of nuclear energy, including emerging nuclear technologies.”

Climate change was also among the topics discussed between the two delegations. The US expressed concern about the impacts of climate change being felt by the Iraqi people and "pledged continued support to resolve Iraq’s water crisis and improve public health.”

“Both countries intend to work closely together as Iraq addresses climate change and water scarcity and ends gas flaring to reduce methane emissions,” read the joint statement. 
 

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