Iraq to revive transport projects in latest reconstruction drive

31 January 2018
The redevelopment of Mosul and Nasiriyah international airports are among the country’s priority projects to be offered to investors

The rehabilitation and development of Iraq’s heavily damaged Mosul International airport is among 60 large and medium-sized projects across the transport, petrochemical and housing sectors that Iraq will be seeking investments for in the country’s latest reconstruction drive.

The redevelopment of the Mosul International, which has been announced in previous similar events, is expected to require ID120bn ($1bn).

MEED understands over 40 per cent of the airport structure has been damaged over the years, most recently by the heavy fighting between Iraqi forces and the terror group Islamic State in Iraq and Syria (Isis).

Iraq is also seeking investors for the rehabilitation of the Nasiriyah International airport, in the southern part of the country, along with the development of the marshlands and the Prophet Abraham Shrine.

Other transport-related projects that will be offered to investors include the development of the much-delayed Grand al-Faw Port.

In 2017, MEED reported that Iraq’s Transport Ministry was reviewing the prequalification documents submitted by firms for the build, operate, transfer (BOT) contract for the first container terminal at the port, located in the extreme southeast of the country, adjoining Iraq’s Basra and Iran’s Abadan regions.

Prior to this development, it is understood that the ministry was undertaking discussions with Chinese, Southeast Asian and European firms for the contract, which includes dredging work as well as the construction of container terminals and other buildings at the port.

In addition, the selected concessionaire was expected to provide all required services to operate the port, including power and water networks as well as building an 80km road inking Al-Faw with Um Qasr Port and a 2km tunnel connecting to Khor al-Zubair Port.

The successful bidder is also expected to finance the cost of the remaining part of the western breakwater contract, which is estimated at $240m.

Work on the western breakwater was awarded in 2013 to South Korea’s Daewoo Engineering & Construction. It is understood that the eastern breakwater, awarded to the Netherlands-registered Archirodon, has been completed.

The 60 projects will require estimated investments of up to $85bn, according to the Kuwait Chamber of Commerce and Industry (KCCI), which is organising the Invest in Iraq Conference in Kuwait on 13 February in cooperation with Iraq’s National Investment Commission, the Washington-based World Bank and the Kuwait Fund for Arab Economic Development (KFAED).

It is understood the World Bank will be offering guarantees, compensation of first loss, and markets exploration for the 60 projects.

 

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