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The hazards of Islamic State oil

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Listen: The hazards of Islamic State oil

Since 2014, the US and its coalition allies have engaged in an intensive air strike campaign against Islamic State oil facilities, aiming to stamp out one of the terrorist group's vital sources of funding. The US has also announced sanctions on IS officials and warned of punitive actions against anybody who trades in IS oil. Where production throughout its territory in Syria and Iraq was once as high as 70,000-80,000 b/d, US intelligence officials now estimate it is down to 20,000-40,000 b/d, as a result of the campaign.

In this episode of Capitol Crude, Platts senior oil editors Herman Wang and Brian Scheid talk to Matt Reed, a senior vice president with Middle East consulting firm Foreign Reports, who has tracked how IS oil is traded on the black market, who is buying it, and how the terrorist group has responded to the air strikes.

Check back every Monday for the latest analysis of US oil policy news from leading Platts editors covering the Capitol. E-mail the editors at brian.scheid@platts.com and herman.wang@platts.com.


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