Iraq power project valued at $80 million approved under UN oil-for-food scheme

Iraq power project valued at $80 million approved under UN oil-for-food scheme

Iraq will receive two power plant gas turbines valued at $80 million under a contract just approved in accordance with the United Nations oil-for-food programme, which allows Baghdad to use a portion of its petroleum revenues to purchase humanitarian relief, the Office running the scheme announced today.

Iraq will receive two power plant gas turbines valued at $80 million under a contract just approved in accordance with the United Nations oil-for-food programme, which allows Baghdad to use a portion of its petroleum revenues to purchase humanitarian relief, the Office running the scheme announced today.

The contract, which had been pending approval for nearly two years, was approved under new procedures aimed at accelerating the release of items on hold. Once installed and commissioned, the gas turbines will produce power for the northern governorates of Erbil and Sulaymaniyah, which will be reconnected to the national electricity grid as part of an effort to increase the supply of electricity to all three northern governorates. The third governorate, Dahuk, is already connected to the national electricity grid.

Meanwhile, Baghdad’s oil exports plunged from the previous week’s record high of 3.03 million barrels per day to 729,000 barrels in the week ending 25 October, the Office of the Iraq Programme reported. With the average price of Iraqi crude approximately €24.65 or $24.05 per barrel, the week’s exports earned an estimated €126 million (euros) or $123 million.