GCCIA to Begin Interconnection with Iraq

Minister Ziyad Fadel discussed in Saudi Arabia proceeding with the Gulf interconnection project and proposals for its development (Iraqi electricity)
Minister Ziyad Fadel discussed in Saudi Arabia proceeding with the Gulf interconnection project and proposals for its development (Iraqi electricity)
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GCCIA to Begin Interconnection with Iraq

Minister Ziyad Fadel discussed in Saudi Arabia proceeding with the Gulf interconnection project and proposals for its development (Iraqi electricity)
Minister Ziyad Fadel discussed in Saudi Arabia proceeding with the Gulf interconnection project and proposals for its development (Iraqi electricity)

The Gulf Cooperation Council Interconnection Authority (GCCIA) will launch Thursday the implementation of the electrical interconnection project with the southern Iraq network, which is expected to be operational by the end of next year.

The governor of the Eastern Region, Prince Saud bin Naif bin Abdulaziz, will inaugurate the ceremony in the presence of GCC Sec-Gen Jassim al-Budaiwi, and Gulf and Iraqi ministers.

Chairman of the GCCIA Board Mohsen al-Hadrami asserted the importance of the event at the level of Gulf countries, reiterating that the project will boost cooperation with Iraq.

Hadrami indicated that energy security is one of the most important axes of cooperation developed through exchange between the GCC countries and Iraq, noting that it is the first step to expand outside the Gulf grid system by linking neighboring countries such as Turkey, Jordan, and Egypt.

The project is in line with the vision of the GGCC and the GCCIA to expand connectivity with the neighboring grid, reaching Europe, Africa, and Asia.

CEO of GCCIA Ahmed al-Ebrahim considered the interconnection project a key strategic project in the Gulf and one of the most important infrastructure interconnection projects approved by the GCC leaders.

He indicated that the project aims to achieve its main strategic goals of enhancing energy security, increasing reliability, and ensuring safety for Gulf grids.

Meanwhile, Iraqi Minister of Electricity Zial Fadhil visited the GCCIA headquarters in Saudi Arabia as part of his visit to the Kingdom.

Fadhil discussed the interconnection project and network stability.

He also reviewed the developments related to the required contracts, the stages completed, the implementation plan, and the connecting lines inside Kuwait.

In July 2022, the Gulf Interconnection Authority (GCCIA) signed the contract between its network and the electricity grid of southern Iraq on the sidelines of the Jeddah Security and Development Summit.

The contract includes the authority's construction of lines from its substation in Kuwait to the al-Faw station in southern Iraq to supply it with about 500 megawatts of energy from the Gulf countries. Construction will take about 24 months, with a total transmission capacity of 1,800 megawatts.

Last February, the authority concluded five contracts with the companies executing the project at a total cost of more than $200 million.



Gold Drops Nearly 2% on Profit-booking, Trump's Treasury Secretary Pick

FILE PHOTO: Gold bullions are displayed at GoldSilver Central's office in Singapore June 19, 2017. REUTERS/Edgar Su/File Photo
FILE PHOTO: Gold bullions are displayed at GoldSilver Central's office in Singapore June 19, 2017. REUTERS/Edgar Su/File Photo
TT

Gold Drops Nearly 2% on Profit-booking, Trump's Treasury Secretary Pick

FILE PHOTO: Gold bullions are displayed at GoldSilver Central's office in Singapore June 19, 2017. REUTERS/Edgar Su/File Photo
FILE PHOTO: Gold bullions are displayed at GoldSilver Central's office in Singapore June 19, 2017. REUTERS/Edgar Su/File Photo

Gold dropped nearly 2% on Monday, weighed down by profit-taking after a five-session rally, with further pressure from the announcement of fund manager Scott Bessent as the next US Treasury secretary.
Spot gold was down 1.8% at $2,664.53 per ounce, as of 0619 GMT, after declining more than 2% earlier in the session. Bullion had hit its highest since Nov. 6 earlier in the day.
US gold futures shed 1.7% to $2,666.40.
Gold's five-session rally has paused due to some profit-taking and Donald Trump's pick of Bessent as the next US Treasury secretary, hinting at tempered use of tariffs and easing US-China trade uncertainty, said IG market strategist Yeap Jun Rong.
President-elect Trump has floated the idea of a 60% tariff on Chinese goods and at least a 10% levy on all other imports.
Gold is considered a safe investment during times of economic and political uncertainty.
Investors are also awaiting minutes of the Federal Reserve's November meeting, GDP data (first revision), and core PCE figures, all due this week.
Traders currently see a 56% chance of another 25-basis-point rate cut in December, compared to 62% last week, according to the CME Fedwatch tool.
Recent less dovish signals from US policymakers suggest any unexpected rise in inflation could strengthen expectations of a rate hold in December, Rong said.
Higher interest rates tend to make gold less appealing, as they yield no interest.
Some Fed policymakers last week expressed concerns that inflation progress may have stalled, advocating for caution, while others emphasized the need for continued rate cuts.
On the geopolitical front, Hezbollah fired heavy rockets at Israel on Sunday, following an Israeli airstrike that killed at least 29 in Beirut. There were reports of damage near Tel Aviv.
Spot silver fell 2.2% to $30.63 per ounce, platinum was down 1.2% to $952.00 and palladium slipped 1% to $998.88.