Iraq’s Capacity Gains Continue

Iraq’s crude oil productive capacity will increase by as much as 130,000 b/d to reach 4.68 million b/d in 2019, although export constraints mean actual output will grow by less. Iraq’s steady upstream investment and the government’s need for revenues to shore up failing infrastructure mean that Baghdad will continue to overproduce under the OPEC+ deal. Saudi Arabia will continue to bear the heaviest load of cuts.