Rocket Attack Halts Khor Mor Gas Production in Iraq's Kurdistan, Causing Widespread Power Cuts & Raising Tensions

Rocket Attack Shuts Down Iraq's Khor Mor Gas Field, Sparks Power Crisis in Kurdistan

BAGHDAD – A recent rocket strike has critically impacted Iraq's Khor Mor gas field, a vital energy hub in the Kurdistan region, forcing a complete shutdown of its operations. The incident, confirmed by joint field operator Dana Gas on Thursday, has led to widespread power outages across the northern region of Iraq.

The attack, which occurred late Wednesday, targeted a liquid storage tank at the Khor Mor facility. While thankfully causing no casualties, the resulting fire was eventually extinguished in the early hours of Thursday. However, the interruption in gas supplies immediately triggered a significant deficit in power generation, with the Kurdish electricity ministry spokesperson, Omed Ahmed, anticipating a 3,000-megawatt drop in Kurdistan's power output.

Geopolitical Ramifications and US Interests

There has been no immediate claim of responsibility for the assault, and authorities have refrained from speculating on the perpetrators. However, such attacks on Iraqi Kurdistan's energy infrastructure are not new, with local officials frequently attributing them to Iran-backed militias. These actions are often perceived as directly targeting U.S. interests, given the substantial American investments in the region's energy sector and U.S. companies involved in developing facilities like those at Khor Mor.

Aziz Ahmad, Deputy Chief of Staff to Iraqi Kurdish Prime Minister Masrour Barzani, voiced frustration on social media platform X, questioning the delay in allowing the Kurdistan Regional Government (KRG) to acquire anti-drone defense systems to protect its critical infrastructure and airspace. The KRG maintains a significant degree of autonomy in northern Iraq.

Collaborative Response and Economic Impact

Iraqi Prime Minister Mohammed Shia al-Sudani swiftly condemned the attack during a phone call with Prime Minister Barzani, labeling it an “attack on all of Iraq.” Both leaders agreed to establish a joint investigative committee tasked with identifying those responsible for the incident.

The targeted storage tank is part of the newer facilities at Khor Mor, partially financed by the U.S. and constructed by an American contractor. These facilities were instrumental in the KM250 project, which had successfully boosted the field’s production capacity by 50% recently. Following the strike, Dana Gas, a key partner in the Pearl Consortium developing the field, saw its shares decline by 1.5% to 0.781 dirhams on Thursday.

Crucially, the attack specifically impacted gas production for regional power generation and did not affect Iraq's oil production or export capabilities. This incident marks the most significant disruption since a series of drone attacks in July previously cut regional oil production by approximately 150,000 barrels per day.