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Iranian oil minister: Country to face severe gas shortage in winter

Business Materials 28 September 2013 17:29 (UTC +04:00)

Azerbaijan, Baku, Sep.28 /Trend F.Karimov/

Iran's oil minister Bijan Namdar Zanganeh said that the country will definitely face a severe gas shortage during winter, the Mehr News Agency reported.

We will not face gas cut off, but the gas shortage problem is serious, he added.

The problem will be resolved through supplying power plants with fuel instead of natural gas, he explained.

Iran will not face a gas shortage in the upcoming winter, former Deputy Oil Minister Javad Owji said earlier this month.

"Iran is currently carrying out some maintenance projects in the national gas network in order to increase the network's stability," he said.

"Maintenance operations will be finished by the end of the Iranian month of Mehr (October 22)," he added.

He went on to note that by increasing gas delivery to the power plants, Iran has managed to boost its liquid fuel storage volume considerably.

"Currently 160-165 million cubic meters of gas per day is being delivered to the country's power plants," Owji said.

The nation, holder of the world's second-largest gas deposits, imported 12 billion cubic meters from Turkmenistan in the Iranian calendar year of 1390 (which ended on March 20, 2012).

But the figure fell to 4.5 billion cubic meters in the previous calendar year (which ended March 20).

The Mehr News Agency reported last December that Iran owes one billion dollars to Turkmenistan over gas imports.

Tightening banking and energy sanctions against Iran over its nuclear program have complicated financial transactions with the Persian Gulf country.

New U.S. sanctions that came into force last month aim to make buyers of Iranian oil pay in their local currencies, with the funds kept in escrow accounts and available for Iran -only to buy locally sourced goods and services.

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