“The American side is cooperating with Iraq to find solutions that would remove pressure on Iraq because the [Iranian] gas is linked to a very sensitive issue which is electricity,” Abdul Mahdi told a news conference on Tuesday, December 11.

Months after pulling out of the deal, the United States reimposed sanctions on Iran’s energy sector, upon which Iraq is heavily reliant for natural gas to fuel its power plants.

On November 10, it granted Iraq a 45-day sanctions waiver to give the country time to find alternative sources of energy.

The waiver is due to expire in the next two weeks and the administration has not yet given an indication about whether it will grant Baghdad an extension.

Abdul Mahdi, who assumed office in October after six months of political uncertainty following an inconclusive election, on Tuesday met US Energy Secretary Rick Perry in Baghdad.

“Sanctions were mentioned, they’re a reality, they’re there,” Perry told reporters in Baghdad, after meeting Iraq’s oil and electricity ministers.

Abdul Mahdi’s office said Perry was in Baghdad with a delegation of over 50 business people.

Reporter’s code: 50101