Iraq is about to reach a major milestone — full self-sufficiency in gasoline production.
Oil Minister Hayan Abdul Ghani announced that the country will soon stop importing fuel altogether once the Fluid Catalytic Cracking (FCC) project officially launches in Basra.
He called the FCC project a “transformative step” that will help Iraq not only meet its own fuel needs but also become an exporter of refined oil products in the near future.
A Game-Changing Refinery for Iraq
Speaking to reporters during his visit to Basra, Abdul Ghani said the FCC project is one of Iraq’s most important strategic developments in the oil refining sector.
The project is valued at around $3.75 billion and funded through a low-interest loan from Japan — one of the most favorable deals Iraq has ever received.
The repayment plan is generous: Iraq will begin paying it back 10 years after completion, with a 30-year repayment period in total.
What the FCC Unit Will Produce
Once operational, the new facility will dramatically boost Iraq’s production of refined fuels. Every single day, it will produce:
- 4,200 cubic meters of high-octane gasoline
- Over 2,000 cubic meters of diesel
- Around 750 tons of liquefied gas and light white products like naphtha
Abdul Ghani explained that this unit will take heavy fuel oil — usually considered a leftover byproduct — and turn it into high-value fuels that Iraq can use or export.
From Importer to Exporter
When Prime Minister Mohammed Shia Al-Sudani took office, Iraq was spending nearly $5 billion a year importing gasoline. That cost has already dropped to less than a quarter of that amount, thanks to ongoing refinery upgrades.
Now, with the FCC project about to start operations, Iraq will finally produce enough fuel for itself, marking the end of gasoline imports altogether.
Abdul Ghani said the Prime Minister will personally inaugurate the new facility soon, calling it a proud moment for the country and a key part of Iraq’s plan to become a net exporter of refined oil products.
