UK Export Finance (UKEF) has agreed to support a €30.2m contract that will see the initial refurbishment of the Al Mussaib power station to ensure secure energy supply in Southern Iraq.
UKEF is UK’s export credit agency and a government department, which works alongside the Department for International Trade as an integral part of its strategy and operations.
Siemens UK Power Generation Services, Power and Gas managing director Darren Davidson said: “The refurbishment of the Al Mussaib power plant will be hugely important both for the citizens of Baghdad and for our international business.
“UKEF’s support demonstrates the UK Government’s commitment to improving Iraq’s infrastructure and the UK’s energy sector.
Located near Baghdad, Al Mussaib power station is said to be one of the main providers of electricity for the city.
The refurbishment of the 320MW power station is expected to increase the facility’s output, as well as help improve the plant’s overall efficiency.
UK Minister of State for Trade and Export Promotion Baroness Fairhead said: “I am delighted that UK Export Finance is supporting the first phase of the refurbishment, which will have such a significant impact on the supply and security of electricity in southern Iraq.
“The demand for UK expertise on complex projects like this highlights the UK’s leadership in this sector and I am delighted that UK Export Finance is supporting projects that will have such a direct impact on improving the country’s infrastructure and the lives of the Iraqi people.
“I encourage like-minded businesses to get in touch with UKEF to learn more about the kind of financial support we can provide.”
The announcement follows an agreement between the two governments signed in March 2017, where the UK re-affirmed its support for Iraq’s continued economic development.