Shell has signed a USD 11bn deal with the Iraqi government to build a petrochemical plant in southern Iraq, according to industry minister Nasser al-Esawi
The petrochemical facility will is to be built near Iraq’s southern city of Basra, close to Arabian Gulf export facilities, Esawi told a press conference in Baghdad.
The plant, named Nibras, is scheduled to come online between 2020 and 2021.
"The Nibras complex will be one of the largest (foreign) investments (in Iraq) and the most important in the petrochemical sector in the Middle East," Esawi said.
Iraq's cabinet authorised the project on Jan 13, according to Reuters news agency.
An initial Memorandum of Understanding was signed in 2012.
Shell has a strong presence in Iraq, where is operates one of the world’s largest onshore fields, the Majnoon oilfield, and leads the Basra Gas Company joint venture.
Earlier this month it shelved the Al Karaana development, a major petrochemicals project planned in nearby Qatar, due to costs.