Iraq's Al-Sudani demands swift action on Karbala Refinery project violations

Shafaq News/ On Wednesday, Iraqi Prime Minister Mohammed Shia al-Sudani directed the Federal Commission of Integrity to expedite the investigation into irregularities related to a Karbala Refinery project.
The PM instructed the Commission to “expedite its investigation into violations concerning the awarding and implementation of a project for supplying and designing pipe orders outside Karbala Refinery, intended for the disposal of light petroleum products,” according to a statement from Al-Sudani's media office.
Al-Sudani further emphasized the need to “hold those responsible accountable and take legal action against the entities and individuals involved in facilitating these violations, including awarding the contract to a non-specialized company and delaying the project’s implementation. Financial inadequacies and inflated costs in the contract were also identified.”
Moreover, he called on the relevant authorities to reconsider the contract, take necessary actions to accelerate the project's implementation, and ensure the refineries meet their economic goals. “This aims to supply all types of fuel with technical specifications suitable for local consumption.”
Notably, Iraq inaugurated the Karbala Refinery with a production capacity of 150,000 barrels per day in April 2023. However, due to intensive maintenance, it has been out of service since September 25, 2024. Two months later, the PM instructed that operations resume at the start of 2025.
The country aims to boost its crude oil production, directing a significant portion to refining facilities, while also planning to expand refinery capacity to achieve self-sufficiency in gasoline production. Iraq plans to increase its crude refining capacity to 1.14 million barrels per day by adding new units to existing refineries.