Fri, 7 Feb 2025
Iraq’s Energy Evolution, What It Means for Security
Hydrogenation and isomerisation! What are they, why are they important for Iraq? What does it mean for the future of Security companies?
Iraq’s Energy Evolution, What It Means for Security
Let’s be honest—at Al Zaeem, we’re not chemical engineers or economists. But like out friend across the pond, President Trump, we do know a good deal when we see one and as such, we recognise the importance of Iraq’s energy developments, not just for the economy but for the security landscape as well. Understanding the changes helps us mitigate risks, better support our clients, and adapt to the evolving needs of Iraq’s future investors, security companies cannot simply keep on acting like it’s 2003.
This week, an $800 million contract was signed for the expansion of the Diwaniyah Refinery, this is a massive deal and a key step in modernising Iraq’s oil sector. This expansion will introduce hydrogenation, gasoline improvement, and isomerisation, terms we had no idea about! However, in short this will enhance fuel quality, increase output, and reduce the country’s reliance on imports.
Fresh from Google, here is an explanation of the terms:
Hydrogenation removes impurities like sulphur and nitrogen from crude oil derivatives, creating cleaner, more efficient fuels that meet modern environmental standards leading to Gasoline improvement to enhance petrol quality, thus improving combustion efficiency and reducing harmful emissions.
Isomerisation is a process that transforms low-octane hydrocarbons into higher-octane fuels.
These are more than just technical advancements; they represent Iraq’s growing ability to become self-sufficient in energy production.
Fuel Shortages in an Oil-Rich Nation!
This is likely a surprise to those outside Iraq, but to anyone living in Iraq, we know the irony. This is a country pumping oil at scale, yet fuel shortages and poor-quality gasoline are a daily frustration.
Long queues at petrol stations, black-market fuel sales, and inconsistent supply disrupt businesses and everyday life. The Diwaniyah Refinery expansion is one of many projects that could mark a turning point, helping Iraq harness more of its natural wealth for domestic benefit.
Cheap, reliable energy is the backbone of economic growth, by lowering production costs it makes goods and services more affordable, and encourages industrial development. Countries with abundant, affordable energy tend to gain geopolitical strength, reducing their dependence on imports and ensuring national security.
Iraq’s increasing stability and self-sufficiency will shift the nature of security demands, Iraq’s traditional security model, high-profile, reactive, and militarised flourished during Iraq’s more unstable past.
However, as investment flows in and Iraq transitions toward a more developed, business-friendly environment, security must evolve. At Al Zaeem, we see the future in lower-profile, intelligence-led, and risk management-focused approaches rather than heavy-handed protective details, at least in most parts of the country.
Under Al-Sudani, there has been a strong push for economic reforms, improved public services, and anti-corruption efforts, alongside a focus on strengthening Iraq's energy sector. In line with this positive trajectory, British company BP has recently agreed to develop the Kirkuk oil and gas fields in a $25 billion deal. Additionally, the UK and Iraq have signed a strategic partnership agreement worth £12 billion.
With projects of this scale and a rapid shift away from prioritising Iran’s security preferences, we foresee a future centered on executive protection and high-end security solutions for multinational corporations, energy firms, and diplomatic circles, we see a kinder, more intelligent security / concierge hybrid both able to protect and intelligent enough to know how to adjust the profile.
We see the requirement to be adaptive to emerging threats, from cyber risks to economic espionage, as Iraq integrates further into global markets, there is much re-thinking required.
There will always be those in the traditional security world who feel threatened by Iraq’s progress, how sad. We, on the other hand, welcome it. Stability brings growth, and security must evolve alongside it.
We are looking deeply at the bigger picture, we look at other nations like the UAE, Saudi Arabia, what are they doing, how are their wealthy protected? How do they keep people safe, we aim to provide services in a similar way, and we will!
Energy, time, and money are deeply interconnected. Nations that master these three forces shape their own futures. Right now, we are witnessing this play out in Iraq, with record investment levels and strategic political moves under Prime Minister Al-Sudani things are changing fast, you need to change too, adapt or die! (metaphorically)
At Al Zaeem, we don’t just watch the headlines—we analyse them. Because in the end, security is about foresight. And those who plan ahead always have the advantage, we work hard in this area to provide high end static security, protective security details and consultancy to elevate and complement your business, as always, if you need something, please don’t hesitate to get in touch!