Iraq has re-negotiated the contract with South Korean contractor Daewoo Engineering and Construction (E&C) for the first phase of Al Faw Grand Port project, the media director of Iraq's transport ministry said.

Last May, Daewoo E&C announced that it was awarded an order to build a container terminal for $199.75 million in Basra, southern Iraq, according to a report by Business Korea news portal.

Faleh Hadi told Zawya Projects that the ministry's negotiating team under minister Nasser Al-Shibli had succeeded in reducing prices to the lowest possible level while maintaining the technical specifications set by the Italian consultant.

"The [revised] contract will be signed in the next few days," the official said. He quoted Al-Shibli as saying that the final version reached serves the aspirations of the Iraqi people and the government.

The Business Korea report in May 2019 had said Daewoo would build a 4.5 kilometre-long temporary dike for the first phase construction of the container terminal.

(Reporting by Majda Muhsen; Editing by Anoop Menon)

(anoop.menon@refinitiv.com)

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