Iraq demands financial guarantees from Egypt for oil supplies
Azerbaijan, Baku, 7 May / Trend, A. Taghiyeva /
Iraq demands financial guarantees from the Central Bank of Egypt for the delivery of oil to the country, a source in the government of Egypt said, the Turkish news agency Anadolu reported.
According to a statement released by the agency on Tuesday, the cabinet of ministers of Egypt is examining Iraq's requirements. Baghdad demanded financial guarantees from Egypt to the tune of $1.2 billion for crude oil sales in a volume four million barrels per month.
Previously, the Governments of Iraq and Egypt have reached an agreement on the supply of Iraqi oil to Egypt under relaxed conditions of payment. The supplied oil will be processed at the Egyptian refineries.
The growing demand for petroleum products is observed in Egypt. Thus, the consumption of diesel fuel in Egypt is 38,000 tons per day, of which 22,000 tons are imported into the country. Gasoline consumption in Egypt is 16,000 tons per day, of which 10 percent is imported.