General Electric Co. (GE) said Tuesday it signed $3 billion deal with Iraq to help the country boost power generation capacity by as much as 7,000 megawatts.
Under the deal, GE will provide power equipment including 9E multi-fuel gas turbines capable of supplying 7,000 MW and services to Iraq, GE said in an emailed statement, without providing a timeframe for the contract.
"The government of Iraq plans to install the units at key sites around the country to provide needed support for the electricity grid," GE said.
Iraq is trying to rebuild its infrastructure and industry more than five years after the U.S.-led invasion but its efforts are being undermined by frequent power cuts, in part due to sabotage.
The erratic power supply is especially hitting Iraq's oil production and exports, which are the main source of income to fund national reconstruction.
Iraq's power stations are currently producing around 6,000 MW, GE said in the statement, while the country needs more than 10,000 MW.
The country's electricity minister, Kareem Waheed, said in late October a power generation deal was also set to be signed with Germany's Siemens AG (SI).