Gulf Today - 05 April, 2013
Iraqi Oil Minister Abdul Karim Al Luaibi has said his country will sign in the next few days an agreement to export Iraq's crude oil through Jordan's Red Sea port of Aqaba, the state Petra news agency reported.
Iraqi Business Council President Majid Saadi said in Amman in February that the $ 18 billion-pipeline project is set to run from Basra to Aqaba to export 2.25 million barrels per day through Jordan.
It would generate between $ 2 billion and $ 3 billion a year in revenues to Jordan, he said, adding that it would also secure the kingdom’s oil needs that range between 120,000 and 150,000 barrels a day.
It is expected that the $ 18 billion pipeline will fulfill Iraq’s needs for oil derivatives” Iraq will use Egyptian refineries in exchange for supplying Egypt with around four million barrels of crude oil per month. Iraq has extended a pipeline from the oilfields of Basra to the Haditha region in the far west of Anbar, near the Jordanian border. Iraq has formed a set of technical committees to design the pipeline that will extend from Haditha to Aqaba.
The part of the pipeline situated within the Iraqi borders provides oil to many cities across the Euphrates, and several refineries in Anbar. At the end of a visit to Jordan last year, Iraqi Prime Minister Nouri Al Maliki signed agreements with the kingdom in the fields of economy, oil and energy in addition to trade, agricultural and transportation agreements that included the extension of the pipeline and a gas pipeline.
Jordan currently receives around 100,000 barrels of crude oil per day from Iraq, in compliance with an agreement that stipulates an amount of 100,000 barrels of crude per day, to be raised to 150,000 and 300,000 barrels at later stages, in addition to 1,000 tonnes of heavy oil.
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