Iran to start gas exports to Iraq in 18 months

Business Materials 6 June 2012 14:29 (UTC +04:00)

Azerbaijan, Baku, Jun.6/ Trend F.Milad/

Iran will start exporting natural gas to Iraq in the next 18 months, said the managing director of the National Iranian Gas Company (NIGC).

Javad Owji added that according to agreements which were made during the past week's visit of an Iranian energy delegation to Iraq, 25 million cubic meters of natural gas will be exported per day to feed two Iraqi power plants, the Shana News Agency reported.

Iran and Iraq have agreed to boost cooperation in different sectors of the oil industry, especially developing joint fields, refining and exporting oil products.

An Iranian delegation, headed by Oil Minister Rostam Qasemi paid a visit to Iraq last week and negotiated with Iraqi prime minister as well as the oil minister.

According to bilateral agreements, Iran will export 1.7-1.8 billion dollars' worth of oil products, including gas oil and kerosene per year to Iraq.

Iran will also provide the Iraqi side with technical assistance and cooperate with a third party to build a refinery in Iraq.

Iran and Iraq are OPEC's second and third biggest producers, respectively, after Saudi Arabia.