Iraq's State Oil Marketing Organization (SOMO) is actively working to bolster its fuel oil supplies, having launched a new tender to procure substantial volumes. This tender, the second of its kind this year, aims to secure fuel oil with a
sulfur content of 2,500 parts per million (ppm). Deliveries are scheduled from September through December. The state-owned entity intends to acquire approximately 446,250 tons of this fuel, utilized across industrial and transportation sectors. Shipments are slated for delivery to Khor Al
Zubair port, with the initial 40,000-ton consignment due by September 15. The deadline for interested companies to submit bids is September 7, with offers required to remain valid for 20 days. SOMO has not yet issued any immediate comment regarding this tender,
as inquiries were made outside of official business hours. Notably, SOMO previously issued a similar tender in July for fuel oil deliveries spanning August and September. Trade circles at the time attributed the import demand to a reported shortage of available
supplies from other market providers. This activity coincides with Iraq's commencement of operations at its new Karbala refinery in 2023, and earlier offers of term contract sales for crude cargoes this year.
