Velina Nacheva
http://www.sofiaecho.com
August 7, 2003

Bulgaria could be the first and main point of oil sales to Europe, Mohammed Amin Ahmed, Iraqi ambassador in Sofia from 1995 to 1999, has said.

He was speaking last Thursday after meeting Foreign Minister Solomon Passi.

“There are opportunities to develop joint Bulgarian-Iraqi projects designed, first of all, for the energy sector,” Ahmed said.

He was visiting Sofia at the invitation of the Atlantic Club of Bulgaria.

“The idea of Bulgaria becoming a transit point for the export of Iraqi oil to Europe should be discussed with Energy and Energy Resources Minister Milko Kovachev, but I think that the idea is very rational,” Passi said.

Ahmed said he was sure that the Iraqi debt of $1.7 billion to Bulgaria would be paid back when life in his country returns to normal.

Ahmed chaired the temporary Foreign Affairs Commission, appointed by the US administration from April to July this year. During his visit he discussed matters related to the political, economic and democratic rebuilding of Iraq, and possible support Bulgaria could provide through its companies.

“We did not talk about any concrete projects, our mission is to create a good climate and do our best so that a maximum number of [Bulgarian] companies work with and in Iraq,” Passi said.

Bulgarian companies are already participating in the rebuilding of post-war Iraq under the Oil for Food programme, Georgi Ivanov, Bulgaria’s trade representative in New York, said on Monday.

Ivanov said that all Bulgarian companies that have contracts approved by the United Nations are listed among the executive companies involved in the process. Ivanov singled out LB Bulgaricum, Sila, Electroimpex and Machinoexport, which has a contract worth $25 million.

In April, about 150 Bulgarian companies declared their readiness to participate in the reconstruction of post-war Iraq. They were divided into eight categories by the United States Agency for International Development.

Machinoexport has undertaken to supply machines for the oil-extracting industry, LB Bulgaricum has a contract for the delivery of powdered milk, and the Sila company will continue the implementation of its agreement for delivery of agricultural spraying machines.

Direct negotiating is the third possibility for participation in the post-war reconstruction of Iraq.

Electroimpex has signed a contract for delivery and assembly of equipment for three electricity substations in the Iraqi region of Basra. Before military operations began the company had implemented 14 per cent of the project, equivalent to $1.2 million. The entire project is worth $8.8 million.

Two Bulgarian firms, SOMAT and ProSoft, have so far seized the opportunity. SOMAT transports goods of German and other firms from Western Europe, whose final destination is Northern Iraq.

In a years time there will be tangible progress towards establishment of an Atlantic Club in Iraq, and the country will join the dialogue involving NATO, six Arab countries and Israel, according to the President of the Atlantic Club Lyubomir Ivanov.

He said that the Bulgarian Atlantic Club would provide guidance and financial support for the process.