Iran is ready to construct a power plant, named Heidariya, in Iraq with a capacity to generate 163 megawatts (MW) of electricity for the country's holy shrines, an advisor to the Iranian energy minister said.
"The credit allocated for the construction of the (163MW) power plant amounts to €75 million and its first phase with the €25 million of credit will come into operation soon," Ebrahim Rahemi said, Fars News Agency reported.
He said the electricity generated by the power plant will be used by the holy shrines of Karbala city in Southern Iraq and the surplus will be sold to the Iraqi government.
Iran and Iraq have enjoyed growing ties since the overthrow of the former Iraqi dictator, Saddam Hussein, following the 2003 US invasion of the Muslim country.
Both sides are working on a series of projects to take wide strides in the expansion of ties, particularly in economic fields.