Iraq’s estimated losses from gas flaring and gas imports stand at about $12 billion annually, said economic adviser to Prime Minister Mudhar Muhammad Salih.

“The losses incurred by Iraq as a result of importing gas to operate power stations, or burning associated gas from the central and southern fields, are estimated at nearly $12 billion annually, which is a huge cost on oil resources,” he told state-owned Iraqi News Agency.

He added that the country is focusing on stopping gas burning to protect the environment and use flared gas to operate power stations. 

Salih said the country seeks to achieve zero gas flaring over the next two years.  

New satellite data compiled by the World Bank’s Global Gas Flaring Reduction Partnership found progress in reducing gas flaring resumed in 2022, with gas flared worldwide falling by 5 billion cubic meters (bcm) to 139 bcm, its lowest level since 2010.

In addition to the overall reduction in flare volume, global flaring intensity - the amount of flaring per barrel of oil produced - fell to its lowest level since satellite data began, due to the 5% increase in oil production in 2022. 

“This indicates a gradual and sustained decoupling of oil production from flaring,” the report said.

(Editing by Seban Scaria seban.scaria@lseg.com)