Iraq has authorized the loading of a fuel oil tanker in solidarity with Lebanon, announced Walid Fayyad, Lebanon's Minister of Energy and Water in the caretaker government.
The approval from Iraqi Prime Minister Mohammed al-Sudani aims to facilitate the delivery of much-needed fuel to Lebanon, enabling the unloading of two gas oil trucks at the Zahrani and Deir Ammar plants.
This decision follows discussions initiated by Lebanese Prime Minister Najib Mikati with his Iraqi counterpart.
Minister Fayyad has been actively engaged in communications with Iraqi officials, including Oil Minister Hayyan Abdul Ghani, to address Lebanon's fuel oil dues crisis and prevent a complete blackout.
Previously, Iraqi Prime Minister Sudani has pledged Iraq's support for Lebanon during discussions with Lebanese Prime Minister Najib Mikati.
The leaders focused on bilateral relations, specifically addressing Iraq's potential supply of oil to Lebanon and the financial commitments involved.
Prime Minister Sudani extended an invitation to his Lebanese counterpart Prime Minister Mikati to visit Baghdad, with plans to finalize the visit after the conclusion of Ashura ceremonies.
The oil exchange agreement, established at the state level in 2021, stipulates that Iraq provides Lebanon with heavy black oil in exchange for financial transfers to an account managed by Iraq's Bank in Lebanon.
Minister Fayyad emphasized that this agreement reflects a relationship of trust between Lebanon and Iraq, crucial for maintaining stability amid Lebanon's economic challenges.
In the midst of Lebanon's ongoing energy crisis, Energy Minister Walid Fayyad recently highlighted to the media challenges in securing a crucial shipment of fuel oil from Iraq.
According to Fayyad, Lebanon awaited official approval from Iraq to receive a delivery of 100,000 tons of heavy fuel oil, part of an agreement where Lebanon, through competitive tenders, awarded this supply task to Sahara Energy.
In return, Sahara Energy was slated to provide Lebanon with gas oil, essential for powering the country's electricity plants.
Lebanon faced delays in payments totaling $164 million to Iraq, hindering the timely release of these essential shipments currently held at ports in Deir Ammar and Zahrani.
Meanwhile, Lebanon's Electricity company had to drastically cut fuel consumption and faced operational challenges, significantly impacting power supply across the nation.