TEHRAN: Iran will export 10 billion cubic meters (bcm) of gas per year to Oman upon the complementation of Iran-Oman gas pipeline project, IRIB news agency reported. The two sides made the agreement during a visit by Iranian Oil Minister Bijan Zanganeh to Muscat on Thursday when he discussed energy ties with Omani Oil and Gas Minister Mohammed bin Hamad Al Rumhy.
Zanganeh said the Iran-Oman gas pipeline will have the capacity to carry one billion cubic feet (about 28 million cubic meters) of gas per day, adding that Oman, having a 1.5-2.5 million tons spare capacity to produce liquefied natural gas (LNG), would liquefy the imported gas and export it to other markets. He said Iranian gas experts would continue the discussion with Oman by the next week.
Zanganeh put the value of Iran’s current gas contract with Oman at around $1.5 to $2 billion. The proposed pipeline is projected to transfer natural gas from Iran’s South Pars gas field to Oman’s Sohar port.
In March 2014, Iran and Oman signed a memorandum of understanding under which Iran will supply Oman with 10 billion cubic meters of natural gas per year in a 25-year deal valued at around $60 billion. Since then, however, the project pipeline has stalled over the imposition of West-engineered sanctions against the Islamic Republic.
