The United States Defense Department announced on May 27 that a $120 million contract to rebuild Iraq's arms and security forces had been awarded to a Virginia-based joint venture, in which Ukraine will play a major part.
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As neither Ukrainian nor U.S. officials have been eager to reveal specific details about the contact, it remains unclear which Ukrainian companies will take part and what their exact role will be. It is, however, the first contract work in Iraq in which Ukrainian companies are involved.
A statement by the Defense Department identified the joint venture as ANHAM Joint Venture, incorporated in Vienna, Virginia. The contract was awarded on May 25. Ukraine will be responsible for fulfilling about 65 percent of the contract, according to the statement. Work will also be performed in Romania (8 percent), in the United Kingdom (also 8 percent), in the U.S. (10 percent), in Canada (5 percent) and in China (4 percent).
The contract work is expected to be completed by September 2006. Bids were solicited on March 29.
Don Jarosz, a U.S. Army spokesperson, told the Post on June 9 that ANHAM, through its subcontractors, would be supplying various kinds of equipment including vehicles, guns, such as AK-47 automatic assault rifles, communications equipment, long range radios, night vision devices, sleeping bags, ponchos, tents and canteens.
Jarosz said ANHAM consists of four separate entities: Virginia-based HAIFinance; Virginia-based American International Services/Uni Trans; Saudia Arabia’s ASTRA; and a company called Munis Sukhtian Group, from Amman, Jordan.
Jarosz refused to identify the Ukrainian companies taking part in the project.
“All other subcontractor information is considered source selection sensitive and cannot be released,” he said.
The contract could be extended to up to almost $260 million, he added.
Robert Hoopes, a spokesperson for ANHAM, told the Post on June 9 that Ukrainian companies would be responsible for a significant portion of the contract. He would not, however, reveal their identities.
“We have a number of Ukrainian partners that we are working with,” he said.
Ukraine’s Defense Ministry and major arms exporter Ukrspetsexport denied having any links to the company. Foreign Ministry spokesperson Markian Lubkivsky told the Post on June 9 that the company involved in the deal has requested that the ministry does not disclose its name, or any other information about the contract until the first deliveries to Iraq take place.