Ba'athist Iraq reducing international oil prices, further weakened the Iraqi economy. In response to this, Saddam threatened Kuwait that, unless it reduced its oil output, Iraq would invade. Negotiations broke down, and on 2 August 1990, Iraq launched an invasion of Kuwait. The resulting international response led to the Persian Gulf War, which Iraq lost. The United Nations (UN) initiated economic sanctions in the war's aftermath to weaken the Ba'athist Iraqi regime. The country's economic conditions worsened during the 1990s, and at the turn of the 21st century, Iraq's economy started to grow again as several states ignored the UN's sanctions. In
Petroleum industry in Iraq in the two earlier rounds will be invited. Iraq has committed to purchasing 100 percent of the gas. Plans to export natural gas remain controversial due to the amount of idle and sub-optimally fired electricity generation capacity in Iraq - much a result of a lack of adequate gas feedstock. Prior to the 1990-1991 Gulf War, Iraq exported natural gas to Kuwait. The gas came from Rumaila through a 105-mile, 400-MMcf/d pipeline to Kuwait's central processing center at Kuwait. In 2007, the Ministry of Oil announced an agreement to fund a feasibility study on the revival of the mothballed pipeline.