Eric Watkins
Senior Correspondent
LOS ANGELES, Apr. 9 -- The Japanese government has agreed to lend Iraq some ¥102.8 billion, with just over half of it earmarked for reconstruction of Iraq's oil pipelines, refineries, and export terminal facilities.
Japan's Ministry of Foreign Affairs ¥50 billion would be used to upgrade Iraq's oil export facilities, while another ¥2 billion will enable refurbishment of a refinery in Basra on the Persian Gulf.
The ministry released a statement saying Iraq boasts the world's third-largest oil reserves and that it is important for Japan to build a long-term strategic partnership with Iraq.
In February Japan imported 290,973 kl of oil from Iraq out of total worldwide imports of 18.7 million kl.
The ministry said another ¥32.6 billion will go toward rebuilding Iraq's electric power sector, and ¥18 billion for the repair and redevelopment of a fertilizer plant.
The loans are repayable over a 40-year term, with a 10-year grace period.
Contact Eric Watkins at [email protected].
