THREE companies based in Britain are to benefit from £43m-worth of contracts to rebuild Iraq.

The US Department of Defence has awarded seven contracts, two of them to groups involving UK partners.

Foster Wheeler, in the oil sector, and Parsons-Brinkerhoff, in the power sector, were successful.

A third consortium in the water sector has UK company involvement with Halcrow acting as sub-consultant. The total value of contracts awarded to groups with a UK involvement was about £43m out of a total of £72.3m.

Mike O'Brien, the UK's Minister for Trade, Investment and Foreign Affairs, said: "We have said all along that UK firms have the necessary skills and capabilities to make a significant contribution to Iraq's reconstruction. These awards, along with the earlier contracts awarded to UK companies, confirm this."