Shafaq News / The Iraqi Minister of Electricity Ziyad Ali Fadhel agreed with the German company "Siemens" on Wednesday to capitalize on associated gas from oil fields by converting it into fuel for power generation stations.
As per a statement from the minister's office, Minister Fadhel inked the deal with Siemens in Berlin, Germany.
"The agreement highlights Iraq's commitment to efficiently utilizing associated gas, previously flared, to meet the nation's sustainable and secure energy needs." The statement said.
Minister Fadhel emphasized that this agreement is "integral to the Iraqi government's comprehensive strategy, spearheaded by Prime Minister Mohammed Shia Al-Sudani, to combat gas flaring and optimize gas resources for electricity generation."
"This initiative is aligned with Iraq's obligations under the Paris Climate Agreement, aiming to preserve the environment and promote renewable energy sources."
Detailing the agreement's swift implementation, Minister Fadhel revealed that it involves an initial investment of approximately 120 million standard cubic feet of gas within a six-month timeframe, followed by an additional 120 million standard cubic feet over the subsequent year.
The generated gas will be instrumental in establishing a 2000-megawatt power station, significantly bolstering the nation's electrical grid capacity and ensuring supply stability.
Christian Bruch, CEO of Siemens Energy, commended the Iraqi government's proactive approach to surmounting long-standing challenges within the energy sector.
He emphasized Iraq's recent achievements in infrastructure development, facilitated by strategic partnerships, which are poised to substantially enhance the nation's energy landscape.
Siemens Energy has been a long-standing partner in Iraq for over 80 years, from building electrical infrastructure in the 1930s and bridges over the Tigris River in the 1950s to installing power plants in the 1970s and 1980s.