Iraq’s prime minister will visit Washington on Monday to deepen strategic ties with the United States, with oil and gas deals expected to be signed as part of a broader push for economic, trade and investment cooperation.
Iraq has been seeking to balance its ties with neighboring Iran and the US as military escalation between the two rivals continues.
“The agreements to be signed will include several memorandums of understanding in the oil and gas sector as Iraq prepares to bring in various US companies that will provide momentum to increase oil production capacity,” government spokesperson Haider al-Aboudi said.
Alternative export outlets to reduce Iraq’s exposure to disruptions
Iraq’s state news agency, citing al-Aboudi, said the planned oil and gas agreements would also seek to create alternative export outlets to reduce Iraq’s exposure to disruptions in the Strait of Hormuz.
Iraq, like other Gulf oil producers, has suffered a drop in oil revenue due to the effective closure of the vital shipping route during the US-Iran war.
Al-Aboudi said strengthening Iraq’s armed forces would also be among the issues discussed in Washington.
Relations between Iraq and the US have at times been strained over the presence of US troops in Iraq, Baghdad’s ties with Iran, and US pressure on Iraq to curb the influence of Iran-backed armed groups.
However, after being nominated for the premiership in April, Ali al-Zaidi received congratulations from US President Donald Trump, who said he hoped for closer cooperation between Baghdad and Washington.
