By John Lee.
A spokesman for the Electricity Ministry, Musab al-Mudaris, confirmed on Tuesday that Iraq has signed a deal with Iran to import natural gas for power generation.
Associated Press reports that under the four-year deal, Iraq buy 850 million cubic feet a day of gas at international market prices, but UPI says no financial details were disclosed.
The gas will feed a power plant in Diyala, and two others in the Baghdad, generating 2,500 MW.
Javad Oji [Owji, Ouji] (pictured), managing director of the National Iranian Gas Co, said:
"Construction of the 140-mile [long] 48-inch [diameter] gas pipeline is nearing completion and its extension in Iraq territory will also come to an end in the next two months."
(Sources: Associated Press, UPI, Dow Jones)
I believed that Iraq was a gas producer with huge gas reserves and now obviously this is not the case since Iraq has to import Iranian gas and build a gas pipeline.
It smells rotten fish! And the fish starts always to be rotten from the head
Lorenzo, Yes Iraq has a lot of gas reserves but the problem is that it would be more expensive for them to produce it into energy and therefore to import it ready for use will be cheaper. Bearing in mind they need to solve the energy crises asap.