Turkmen to Sign New Gas Deal with Iran
Turkmen to Sign New Gas Deal with Iran
On November 21, the Turkmen authorities will sign an agreement committing themselves to supply more gas to Iran.
The Iranians have been pressing for a new deal after last winter, when Turkmenistan suspended supplies via the Korpeje-Kord Koy pipeline. Officially, supplies were halted because of technical problems; it is more likely that the Turkmen were bargaining to increase the price from 75 to 140 US dollars per 1,000 cubic metres.
The supply to Iran was resumed in April when the two sides agreed a framework under which prices could be raised in return for a greater supply volume. This outline agreement was signed in September, and the final deal in November should allow volumes to increase from the following month.
NBCentralAsia analyst believe the Iranians are keen to see a 50 per cent increase on the current volume of eight million cu m a year. Turkmen gas is used in northeastern parts of Iran which are far from the country’s own substantial gas reserves.
An energy expert in Ashgabat believes the two sides will come to terms, and cites as evidence the increasing frequency with which gas industry officials have been meeting. Iran’s oil minister and national gas company chief discussed supply issues when they met senior Turkmen officials on October 27, as part of Turkmenistan’s independence day celebrations.
The Iranians have been pressing for a new deal after last winter, when Turkmenistan suspended supplies via the Korpeje-Kord Koy pipeline. Officially, supplies were halted because of technical problems; it is more likely that the Turkmen were bargaining to increase the price from 75 to 140 US dollars per 1,000 cubic metres.
The supply to Iran was resumed in April when the two sides agreed a framework under which prices could be raised in return for a greater supply volume. This outline agreement was signed in September, and the final deal in November should allow volumes to increase from the following month.
NBCentralAsia analyst believe the Iranians are keen to see a 50 per cent increase on the current volume of eight million cu m a year. Turkmen gas is used in northeastern parts of Iran which are far from the country’s own substantial gas reserves.
An energy expert in Ashgabat believes the two sides will come to terms, and cites as evidence the increasing frequency with which gas industry officials have been meeting. Iran’s oil minister and national gas company chief discussed supply issues when they met senior Turkmen officials on October 27, as part of Turkmenistan’s independence day celebrations.
