Iraq nears completion of strategic refining project in Basra

Shafaq News

20 hours ago

Shafaq News / Iraqi Oil Minister Hayan Abdul Ghani announced on Monday that the Fluid Catalytic Cracking (FCC) unit project at the South Refineries Company in Basra is nearing completion and will soon begin operations.
During a visit to the project site, Abdul Ghani described the FCC unit as one of the most strategic developments in the refining sector, expected to significantly curb Iraq's reliance on imported petroleum products.
He told Shafaq News Agency that specialized Japanese firms are executing the project with support from the Japanese loan, and that work has reached its final stages ahead of trial operations.
The unit is set to produce between 4,200 and 4,500 cubic meters per day of high-octane gasoline (above 92 octane), along with diesel meeting European standards.
Abdul Ghani stated that gasoline imports are projected to drop to 2,000–3,000 cubic meters per day, down from over 16,000 in previous years, noting that the annual spending on imported white petroleum products, which exceeded $5 billion two years ago, has since fallen below $1 billion, and is expected to end entirely with the project's completion.
He highlighted the role of the Karbala refinery in boosting domestic output, contributing 8,000 to 9,000 cubic meters of gasoline daily and reducing imports to 4,000–5,000 cubic meters.
The minister also pointed to progress at the Kirkuk refinery, operated by the North Refineries Company, which is expected to begin trial production soon with a daily output of no less than 1,600 cubic meters of gasoline.
He confirmed that trial operations for the FCC project's diesel unit will begin in mid-August, with the gasoline unit to follow.
The FCC unit in Basra is part of a wider effort to modernize and expand refining capacity across Iraq, including projects at the Karbala, Kirkuk, Central, and Northern refineries, aimed at improving fuel quality and meeting higher environmental standards.