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FINANCIAL NEWS
Iraq awards pipelines factory contract to India’s Jindal
12 Jun 2012
(MENAFN) Indian steel firm Jindal Saw won a 25-year contract to build and run a factory for manufacturing oil and gas pipelines south of Iraq, Reuters reported.
The USD198 million deal is part of Iraq’s efforts to revive its long deserted industry sector.
Khalaf Al-Badran, chairman of Basra Investment Commission said that the pipelines will be used in oil development projects in the country’s southern oilfields.
Phoenix International Iraq, a unit of Danish construction firm Phoenix International, also won a USD86 million contract to build and operate another pipeline factory in Umm Qasr port in the southern oil hub of Basra, Badran said.
The factory will produce pipes for transporting oil, natural gas and water, and the duration of the license is 35 years, he added.
In its plan to boost crude oil output to 8-8.5 million bpd by 2017, Iraq has made several deals with foreign firms to develop its rich oilfields.
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