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Iran Resumes Gas Supplies to Iraq

Iran has restarted natural gas exports to Iraq, signaling renewed energy cooperation between the two neighbors despite longstanding pressure from the United States to curb such trade.

Officials at Iraq’s electricity ministry confirmed that gas is once again flowing from Iran to Iraq, with deliveries currently averaging about seven million cubic meters per day. Iraqi officials are also preparing a visit to Tehran to discuss the outlook for future supplies, particularly as the region approaches peak summer electricity demand.

The resumption comes just months after Iraq announced it had halted purchases of Iranian gas in December 2025. That decision immediately reduced national power generation by an estimated 4,000 to 4,500 megawatts, exposing how dependent the country still is on imported fuel to keep its electricity grid running.

While the suspension was part of a broader plan to gradually reduce reliance on Iranian energy imports with U.S. approval – recent developments suggest alternatives have been difficult to secure. Iranian gas has historically accounted for roughly 30–40% of Iraq’s electricity generation, and those volumes had already been under pressure from payment disputes, sanctions constraints, and Iran’s own domestic demand.

The renewed talks highlight growing energy security concerns as summer approaches, a period when electricity consumption typically surges across the Middle East. The willingness to re-engage Iran so soon after the suspension underscores the challenge Iraq faces in balancing political commitments with practical power needs.

Ironically, Iraq holds substantial natural gas resources of its own, much of it produced alongside crude oil. However, a significant portion of this associated gas is still flared due to insufficient infrastructure to capture and process it. Addressing this gap requires heavy investment, something international partners have begun to step into.

One of the major players involved is TotalEnergies, which is investing in gas development projects aimed at eventually supplying domestic power plants and reducing the need for imports.

For now, the restart of Iranian gas flows reflects a familiar reality for Iraq: until local gas infrastructure is fully developed, securing reliable electricity supply remains closely tied to cross-border energy arrangements.