Bechtel wins Iraq II contract

The U.S. Agency for International Development will pay $1.8 billion for work that includes rebuilding Iraq's communications infrastructure.

Officials at the U.S. Agency for International Development (USAID) this week announced that Bechtel National Inc. won a $1.8 billion contract to rebuild Iraq's infrastructure, including communications networks.

Bechtel, located in San Francisco, will work on the Iraq Infrastructure II contract with Parsons Corp. of Pasadena, Calif., and Horne Engineering Services Inc. of Fairfax, Va., according to company and government statements.

The deal covers procurement, engineering and construction services, the Bechtel statement said. Tasks include rebuilding the country's telecommunications network damaged during the war last March.

The telecom project calls for installation of switches at 12 sites and reconnection of 240,000 people, Bechtel's Web site states. The work also involves putting in an international satellite gateway in Baghdad and restoring the country's main north-south fiber-optic network, the site reads.

USAID in October 2003 issued a request for proposals for the Iraq Infrastructure II contract, a Jan. 6 agency statement said. USAID last April awarded Bechtel an Iraq reconstruction contract that extends through December.