Iraq is checking the financial records of an intermediary company which will guarantee the stable flow of Turkmenistan gas supplies to the OPEC member for its power plants, an official has said.

An initial agreement inked in 2024 with Turkmenistan includes the supply of nearly 20 million cubic metres of gas per day, Electricity Ministry spokesman Ahmed Mousa said.

“We are now taking evaluation procedures  which include checking the financial capability of the intermediary company which will guarantee that gas supplies from Turkmenistan will not be interrupted,” Mousa told Iraqi News Agency (INA).

He did not specify that company but said Iraq is also working to finalise payment arrangements as part of that accord.

Mousa said a steep fall in Iranian gas supplies has resulted in the decline of at least 8,000 megawatts (MW) in Iraq’s power networks which operate on natural gas.

Iraqi Prime Minister Mohammed Al-Sudani said in January that Baghdad is planning to halt the import of Iranian gas in 2028, when several domestic gas projects awarded to foreign firms over the past two years are completed. 

Read more: Iraq signs gas supply deal with Turkmenistan

(Writing by Nadim Kawach; Editing by Anoop Menon)

(anoop.menon@lseg.com)

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