Korea Gas Corp. (036460.SE), known as Kogas, on Tuesday signed a deal with the Iraqi government worth up to $127.5 million to build two pipelines to carry gas from oil fields in Kirkuk, northern Iraq, to Baiji refinery north of the capital Baghdad, a senior Iraqi oil official said.

According to the contract, both pipelines will be 110 kilometers long, the head of the state oil pipelines company, Hashem Abdul Ghafour, told reporters in Baghdad .

The first pipeline will be 16 inches in diameter and will carry liquefied gas from Kirkuk to Baiji, while the second will be 18 inches in diameter and carry dry gas to the refinery, some 200 kilometers north of Baghdad , Mr. Abdul Ghafour said.

Kogas needs to complete the two pipelines in 22 months from the start of work, he said.

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