Iraq oil price updates continues adjusting its global oil pricing strategy to reflect shifting market conditions. The country raised its oil selling price differentials for August.
In addition, the state oil marketing organization, SOMO, set higher official selling price differentials for most crude grades worldwide. Moreover, this change affects oil exports to Asia, Europe, and the Americas. Only one exception exists—Basrah Medium headed to the Americas.
That grade will sell at a discount of $1.15 per barrel against the August Argus Sour Crude Index. In July, SOMO priced it at a $1.05 discount. Meanwhile, SOMO raised the price for Asian-bound Basrah Medium. It now sells at a premium of $1.35 over the Platts Oman/Dubai average.
That represents a sharp increase from the $0.30 premium set for July. Basrah Heavy for Asia also gained value. It now trades at a smaller discount of $1.70 per barrel, up from $2.70. Furthermore, Turning to Europe, SOMO improved Basrah Medium pricing from minus $1.30 to minus $0.55 per barrel versus dated Brent.
Basrah Heavy for Europe gained slightly, now priced at minus $3.15 compared to last month’s minus $3.65. Kirkuk crude exports to Europe increased the most. The price rose from a $1.90 premium in July to $2.90 for August. In the American market, Basrah Heavy improved slightly. It now trades at a $5.10 discount, better than July’s $5.20.
However, SOMO made no change to the Kirkuk price in the Americas. It stays at a $1.50 per barrel premium. Clearly, Iraq’s new pricing strategy aims to balance competitiveness with profit margins across regions. At the same time, Iraq’s oil production is rising steadily. The country remains the second-largest producer in OPEC, just behind Saudi Arabia.
The latest OPEC+ deal now allows Iraq to boost output. Starting in August, Iraq can pump 4.171 million barrels per day.
That marks a steady rise from June’s limit of 4.03 million barrels per day. This upward trend shows Iraq’s expanding role in global energy markets. As global demand evolves, Iraq oil price updates help the country remain flexible and competitive.
Oil buyers across Asia, Europe, and the Americas will closely watch future pricing. With growing capacity and higher volumes, Iraq strengthens its influence in international oil trade.