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FINANCIAL NEWS
Iraq inks $52 power deals
03 Jan 2011
(MENAFN) Basra deputy governor Ahmed Hameed said that his country inked a $52 million contract with France’s Schneider Electric and Areva for constructing fifteen power distribution stations in the oil hub of Basra, reported Gulf Daily News.
Hameed said that $23 million were granted to Areva in exchange of the construction of seven plants while Schneider Electric would receive $29 million in exchange of constructing eight distribution stations. Hameed added that these payments would be covered from Basra’s share of oil revenue and thus an approval from Ministry of Electricity is not required.
Hameed also said that Basra is currently negotiating a 150 megawatts supply deal with a company located in the Kingdom of Saudi Arabia.
It is worth noting that Iraq has plans for investing three to four billion dollars for increasing power capacity to 27,000 MW by the end of 2014.
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