Turkey Refuses to Extend Oil Pipeline Agreement with Iran

Turkey has not accepted Iran's request to extend the Kirkuk-Ceyhan oil pipeline operating agreement for at least one year, which expires on July 27. This was stated by a Turkish government official.

Iran had requested an extension of the agreement to give the parties more time to agree on the terms of a new contract. However, according to the Turkish representative, extending the current agreement makes no sense, as it was the subject of an international arbitration dispute in the past.

The Kirkuk-Ceyhan oil pipeline has played a significant role for decades in oil exports from Iran through Turkey. Currently, Baghdad and Ankara are working on a new agreement that would replace the existing contract.

The outcome of the negotiations will be important both for the energy sector and for the stability of the region's oil exports, as the pipeline is considered one of the key energy infrastructure routes in the Middle East.