International Insurance Firms Eye Iraq's Big Oil Cos - Exec (20/04/08)

At least five international insurance firms are eyeing the Iraqi market to insure big oil and infrastructure-related projects, an executive from the American Chamber of Commerce in Iraq told Zawya Dow Jones Saturday.

"Within six months of the oil law being passed insurance companies will receive licenses and there will be no limit to the number given as long as the companies meet the requirements," Timothy Mills, the president of the American Chamber of Commerce in Iraq told Zawya Dow Jones on the sidelines of a conference in Dubai.

At least three large American insurance firms, one Swiss and one British have expressed interest in Iraq, Mills added.

Mills said that the oil law is likely to be approved before the 2009 elections in Iraq.

The U.S. government is looking to set up a mortgage bank in Iraq with American and Iraqi partners, Mills said. "The government is conducting the feasibility studies in the next 60 days and will make a decision," Mills said. United Parcel Service (UPS) and Fedex Corp. (FDX) may create air logistics hubs in north and central Iraq, Mills added.

"This could happen within the next six months and the air logistics hub would be worth between $50 to $100 million," Mills said.

By Maria Abi-Habib, Dow Jones Newswires; +9714 364 4962; maria.habib@dowjones.com

Source: Zawya