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Iraq and Iran Set for Oil and Gas Swap to Avoid Sanctions

OIL

Iraq will trade crude oil for Iranian gas to end the issue of US Approval for payments to Tehran, Iraqi Prime Minister Mohammed Shia Sudani said on Tuesday.

  • Iran had cut gas exports to Iraq by more than 50% as of July 1 after Baghdad failed to secure US approval to disburse owed funds but Iran has now agreed to resume exports by swapping gas for oil.
  • The United States has pushed Iraq, OPEC second-largest producer, to cut its reliance on Iranian gas.

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