Iraq Supplies Lebanon with Two Million Tons of Crude Oil Annually

Iraqi Deputy Prime Minister and Minister of Oil Hayyan Abdul Ghani welcomed Lebanese Minister of Energy Walid Fayyad at the Ministry of Energy in preparation for signing agreements between the two ministries regarding the supply of fuel oil for Lebanon’s electricity plants. The Lebanese Ministry of Energy and Water announced today, Friday, that Iraq and Lebanon have signed a new agreement to supply Lebanon with amounts reaching up to two million tons of crude oil annually, with an annual cost of approximately 1.2 billion dollars. This step comes as a continuation of the talks held with Iraqi officials, led by Iraqi Prime Minister Muhammad Shia' al-Sudani, and closely followed by Minister Fayyad, resulting in the Iraqi side’s approval to extend the agreement to supply Lebanon with Iraqi fuel oil and to increase the quantity. Additionally, a new commercial agreement has been concluded to supply Lebanon with quantities of crude oil, to be exchanged for suitable petroleum products necessary for the operation of electricity production plants in Lebanon. The preliminary memorandum of understanding will be signed at the Iraqi Ministry of Oil between Ministers Fayyad and Abdul Ghani, with plans to subsequently prepare the necessary contract projects and proceed accordingly.