Through its 80 known oil fields, Iraq is estimated to have almost 10% of the world’s proven reserves (143 billion barrels) and 2% of the world’s natural gas reserves, making it the largest EITI implementing country by oil and gas reserves. The Rumaila and West Qurna fields together hold more proven oil reserves than the entire United States. According to the International Energy Agency, Iraq has the potential to earn US$ 5 trillion in oil revenues between 2013 and 2035. For the same time period, it is estimated that Iraq will provide 45 per cent of global production growth and become the world's second largest exporter of oil.
In Baghdad-administered Iraq, the industry is completely state-owned, with the oil marketing company SOMO selling crude to 34 accredited international companies on behalf of four producing companies, South Oil Company, North Oil Company, Missan Oil Company and Midland Oil Company. Over three million barrels per day were produced in 2012. The eleven international Technical Service Contracts (TSCs) that have been signed hold the promise of a total production of over 13 million barrels per day. If this figure were ever achieved, Iraq would become the largest oil producer in the world.
The semi-autonomous Kurdish Regional Government (KRG) has a series of production sharing agreements with international companies.
All officially exported oil from Iraq, including from Kurdistan, goes through the Iraq-Turkey pipeline with ports at Basra and Ceyhan (in Turkey). Any oil in that pipeline is the property of SOMO, the Iraqi state-owned oil company.
On February 2014 Iraq EITI submitted a request for Adapted Implementation, being unable to guarantee the comprehensive disclosure of material payments collected by the KRG. The Board agreed with the request.
Following protracted negotiations between the IEITI and the Kurdish Regional Government (KRG), the Iraq EITI produced an update of its 2010 report in May 2013, including a chapter on Kurdistan’s oil and gas production and revenues from exports, assessed by the Supreme Audit Board.
The first EITI Report covering 2009 was published in December 2011. The 2009 EITI Report covered export sales of all officially exported oil from Iraq, including from Kurdistan, which go through the Iraq-Turkey pipeline with ports at Basra and Ceyhan (in Turkey). Any oil in that pipeline is the property of SOMO, the Iraqi state-owned oil company.
Iraq was accepted as an EITI Candidate country by the Board on 10 February 2010.