Shafaq News/ Iraq's Ministry of Finance Wednesday sealed an agreement with the Japan International Cooperation Agency (JICA) to fund the development of Basra's refinery in a bid to help the country achieve energy self-sufficiency.
This accord paves the way for the fifth phase of the Basra Refinery Development Project, focusing on the Fluid Catalytic Cracking (FCC) unit, a key component in enhancing the production quality and volume of oil derivatives, including gasoline, diesel, and kerosene.
Hon. Taif Sami, Iraq's Minister of Finance, said during the signing ceremony, "The Iraqi government has a comprehensive agreement with the Japanese side, inclusive of several loans, among them the fifth phase, integrated into the 2023 federal budget."
The ceremony held in Baghdad earlier today was attended by Futoshi Matsumoto, the Japanese Ambassador to Baghdad, and Osaki Matsuhiro, the representative of JICA.
"This initiative aims to amplify both the quantity and quality of petroleum products by establishing a state-of-the-art refining plant named the FCC complex in the Basra Refinery."
She emphasized the project's alignment with Iraq's latest governmental program to improve the volume of high-value petroleum products, thereby galvanizing private sector participation in the energy industry and creating a plethora of employment opportunities in Iraq's promising oil sectors.
The agreement marks a decisive stride towards bridging the gap between demand and supply in the Iraqi market, reducing the nation's dependence on imported oil derivatives.
The Ministry stressed that the fifth loan agreement was previously incorporated into the 2023 Federal Budget Act.