About 30,000 barrels per day of crude will be trucked to Iran's Kermanshah refinery in the first instance, Iraqi Oil Minister Jabar al-Luaibi said.
Six days of anti-government protests in Opec's third-largest producer have added a geopolitical risk premium to oil prices, though Iran's production and exports have not been affected.
Iraq said it was increasing oil exports on Saturday from the southern Basra region by 200,000 barrels per day to make up for a shortfall from the northern Kirkuk fields.
National oil giant Saudi Aramco expects to sign $50bn of deals with US companies on Saturday, part of a drive to diversify the kingdom's economy beyond oil exports, Aramco's chief executive Amin Nasser said.
Oil fell around 3% after Iran dashed hopes of a coordinated production freeze any time soon, returning bearish sentiment over a supply glut that has sent prices crashing.