Kirkuk Profits from Oil

The Ministry of Finance has released the sum of 111 billion Iraqi dinars (approx. $104 million) for the oil-rich Province of Kirkuk.
The money is part of the country’s petrodollar project under which oil-producing provinces are entitled to one dollar for each barrel of oil produced by their oil fields.

Oil-producing provinces, namely Kirkuk and Basra, are required to use the money for reconstruction and rehabilitation of their infrastructure.
Kirkuk’s share so far has been more than $200 million. Kirkuk’s oil output averages 500,000 barrels a day.
“The royalties will be invested in strategic projects to develop the province,” Kirkuk’s Governor, Abdulrahman Mustafa, said.

He said Kirkuk had suffered from decades of neglect and lack of sufficient resources for development.

Upgrading municipal services, purchase of vehicles and machinery necessary to keep the province clean and tidy and the removal of debris top Mustafa’s priorities.
But most of the money, according to Mustafa, will be invested in power projects to boost the electricity supplies.

Other Important News!

New electricity tenders to be announced in Iraq
The Electricity Ministry is to announce new tenders for the construction of several power stations and is urging foreign firms to participate.
The ministry’s spokeseman Musaab al-Modaris said the contracts are designed to generate an additional 2,750 megawatts.

The U.S. General Electric has drawn the designs and specified the type of machinery that should be imported for the construction of gas-driven power plants, he said.
“We urge firms interested in the tenders to send their representatives to the press conference which the ministry is to hold on Saturday when the tenders, specifications and conditions will be announced,” Modaris said.

Companies will have 40 days to present their final offers, he added.
The power-generating units will be constructed at currently producing plants, he said.
The construction should be completed in two years, Modaris said.
The new gas-driven units will supplement power production at plants in Basra, Diwaniya and Amara, he said.


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