Iran will independently develop a $450 million gas pipeline to Iraq with a daily capacity of 25 million cubic meters of natural gas, said the managing director of Iranian Gas Engineering and Development Company (IGEDC).
Alireza Gharibi said construction of the pipe line, which will begin in 2013 and will take five years, will be undertaken by Iranian firms, the Mehr News Agency reported.
The Iranian gas will be fed into four Iraqi power plants, he noted.
Iran has the second largest proven gas reserves in the world after Russia. Iraq has said that it needs 10 to 15 million cubic meters of Iranian gas each day.
Iran’s natural gas production capacity stands at around 554 million cubic meters per day, the National Iranian Gas Company’s spokesman said on February 5.