TEHRAN, July 18 (UPI) -- Iranian Oil Minister Bijan Namdar Zanganeh said Monday construction would begin soon on an oil pipeline between Iran and Iraq.
He said the pipeline, which is being built under an agreement signed ten months ago, should be operational by the middle of next year, the Iranian News Agency reported.
The pipeline will link oil fields in Basra in southern Iraq to a refinery in Abadan in Iran. It will carry 150,000 barrels a day to the refinery and receive in return 50 million liters (13.21 million U.S. gallons) of oil products including gasoline and kerosene.
The two countries signed a memorandum of understanding Sunday, putting in place all the details of the agreement.
Zanganeh said under the agreement Iran will train Iraqi oil officials and supply equipment needed by Iraq's oil industry.
A joint working team will be set up in the next 10 days to follow up on the oil projects and agreements, he added.
