German firm strikes deal with Iraqi Kurds to transport Iraqi gas to Europe

A German firm has struck a cooperation deal with the Kurdish regional government in northern Iraq for the transport of Iraqi natural gas to Europe.

The German investment firm, RWA, says it will construct a pipeline linking Iraqi gas fields to Nabucco pipeline conceived to cut Europe’s reliance on Russian gas.

An RWA statement, quoting Ashti Horami, Kurdish regional government’s minister of natural resources, said that the Kurdish region could pump up 20 billion cubic meters of natural gas to Europe.

RWA, says the statement, will build the pipeline linking northern Iraq with Turkey.

There are no plans to extend the pipeline to Iran which has one of the world’s largest reserves of natural gas.

Iran already transports huge quantities of natural gas to Turkey via a special pipeline.

The proceeds from the gas exports will be funneled to central government coffers, Horami was reported as saying.

Iraqi Kurds have increased oil and gas development activities in their semi-independent enclave comprising the provinces of Dahouk, Sulaimaniya and Arbil.

They say they can now produce more than 100,000 barrels of oil a day and have drawn plans to boost output to 1 million barrels in four years.

Iraq has a twin pipeline linking its largest producing oil fields to Turkish terminals on the Mediterranean.

http://www.azzaman.com/english/index...08-29\kurd.htm