Chevron CEO says talks with Iraq include possible pipeline plan aimed at avoiding the Strait of Hormuz

Chevron is discussing with Iraq a possible approach to developing oil fields that includes a pipeline plan intended to reduce exposure to disruptions associated with the Strait of Hormuz, Chevron CEO Mike Wirth said in recent remarks reported by Yahoo Finance.

Wirth said the company is in talks with Iraq about potentially entering one or two oil fields there. The purpose, as described, is to establish a pathway for moving crude in a way that would not depend as heavily on routes that pass through the strategic chokepoint near Iran.

According to the report, the discussions include a framework that could allow construction of a pipeline. While Wirth did not, in the reported account, spell out the pipeline’s full commercial design or final start date, the implication was that Chevron is working through an agreement structure that could translate into midstream infrastructure.

The comments also announcement that Chevron is thinking about security and logistics risk as part of longer-range project planning. For global oil producers, the Strait of Hormuz is a critical corridor for crude and refined product exports, and any sustained disruption there can affect availability, shipping costs, and prices.

In Chevron’s case, a pipeline route that bypasses the Strait would also shift some of the company’s exposure from maritime shipping risk toward land-based infrastructure risk, such as construction, permitting, and the ability to sustain throughput over time. Those tradeoffs are central to how upstream projects get financed and insured.

The report frames the Iraq discussions as a live process rather than a finalized deal. That matters because the step from “framework” to execution typically requires formal agreement terms, project economics, partner arrangements, and host-country approvals.

Chevron did not provide, in the reported remarks, specific details such as the number of fields under consideration beyond the “one or two” description, potential partners, expected volumes, capital cost ranges, or when an agreement would be signed or projects would begin. The company also did not outline how the pipeline would connect to existing export networks or what timeline it would target.

What to watch next is whether Chevron moves from discussions and frameworks to binding arrangements, including clearer language on the selected fields, the pipeline’s route and capacity, and the commercial structure for who pays for and operates the midstream link.