Iraq Shortlists Candidates for Jordan Pipeline

By John Lee.

The Wall Street Journal and Reuters report that Iraq has shortlisted 12 international companies to build the new $18-billion oil export pipeline to Jordan, the country’s first such pipeline in decades.

Iraq’s oil ministry has chosen these companies from a list of more than 80 international firms which submitted their credentials to build a section of the 1,040-mile pipeline from Basra to Jordanian Red Sea port of Aqaba.

The short-listed companies and consortiums are:

  • Lukoil (Russia);
  • China National Petroleum Corporation (CNPC);
  • Marubeni Corporation (Japan);
  • Mitsui (Japan);
  • Toyota Tsusho (Japan);
  • Punj Lloyd (India) and Mass Global International (Iraq);
  • Saipem (Italy);
  • Daewoo International Corporation (Korea);
  • Consolidated Contractors Company (CCC) (Greece);
  • Go Gas (India), Larsen & Toubro (L&T) (India), and Fius Capital (Dubai);
  • Petrofac (UK) and Stroygazconsulting (SGC) (Russia); and,
  • Orascom (Egypt) and Petrojet (Egypt).

It is understood that the State Company for Oil Projects (SCOP) will invite the short-listed companies to receive the tender package, and then submit their offers by November or December.

Iraq and Jordan signed a preliminary agreement in April to build the section of the pipeline that would stretch from an Iraqi oil pumping station in Haditha, west of Iraq, to Aqaba. The rest of the pipeline, which is 680 kilometers long, linking a Basra pumping station with the one in Haditha would be built and financed by the Iraqi oil ministry.

Iraq hopes the pipeline will make it less dependent on Persian Gulf export terminals, providing an alternative route if Iran closes the Strait of Hormuz.

A third section of the pipeline, running to Syria’s Banias port in the Mediterranean, has been postponed because of the conflict in the neighboring country. It would have a capacity of 1.25 million barrels a day.

(Sources: WSJ, Reuters)

7 Responses to Iraq Shortlists Candidates for Jordan Pipeline

  1. Rizgar September 5, 2013 at 6:43 pm #

    Dear readers,

    I am going to make my prediction that Punj Lloyd (India) and Mass Global International (Iraq); will get the contract!!

    Rizgar Khoshnaw

    Washington,DC

  2. FITZ September 5, 2013 at 9:47 pm #

    In a change of plan and reduce costs I predict it will be re-routed through Syria.

  3. […] Iraq Shortlists Candidates for Jordan Pipeline (iraq-businessnews.com) […]

  4. rashid May 7, 2014 at 5:03 am #

    Ya diah jaafar of soc and punj are close frends.

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