Iraq Approves Payments to China Machinery Eng Corp (CMEC)

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Iraq Approves Payments to China Machinery Eng Corp (CMEC)

The Iraqi government has approved a settlement to pay outstanding dues owed to China Machinery Engineering Corporation (CMEC) for operating, maintaining, and producing electricity at the Salah al-Din power plant for the years 2021, 2022, and 2023.

According to a statement from the Prime Minister’s Office, the settlement is based on a letter from the Ministry of Electricity dated November 27, 2025. The payments will be settled by offsetting them against delay penalties, along with other remaining financial observations recorded against the company.

CMEC is a subsidiary of the China National Machinery Industry Corporation (Sinomach).

In a related move, the Energy Council of Ministers approved the renewal of the power purchase agreement for the Al-Shuaiba power plant with Gold Power for one additional year. The renewal will be carried out under the same terms and contractual annexes as the original agreement.