Iran, Russia discuss creation of satellite, free trade zone

Business Materials 30 July 2016 12:10 (UTC +04:00)
Russian companies are interested in the Iranian market.
Iran, Russia discuss creation of satellite, free trade zone

Baku, Azerbaijan, July 30

By Elena Kosolapova, Farhad Daneshvar – Trend:

Russian companies are interested in the Iranian market, said Russia’s Energy Minister and Co-chair of the Russia-Iran Intergovernmental Commission on Trade and Economic Cooperation Alexander Novak.

Novak made the remarks during the meeting with Iran’s Minister of Communication and Information Technology and Co-chair of the intergovernmental commission from the Iranian side Mahmoud Vaezi, said Russian Energy Ministry July 30.

“Currently, the companies are waiting for the presentation of the Iranian oil contract to become familiar with specific terms of joining the project,” said Novak.

He also noted that Russia’s Gazprom company is interested in implementation of the general scheme of development of Iran’s gas industry, joint production projects, construction of the LNG (liquefied natural gas) plant, joint marketing projects.

Russian minister added that there are also the first agreements in the oil sphere – Zarubezhneft company signed a memorandum of cooperation in July, 2016, to improve oil extraction in Iran’s existing projects.

Novak said also that the work continues on the signing of 13 new agreements, and a “road map”, which will include 70 specific projects, will be prepared in industrial sphere in the near future.

Meanwhile, IRNA news agency reported quoting Novak that Iran and Russia have also discussed purchasing of a satellite.

“There have been some agreements in the field of aerospace and the sides are studying the possibility of making a satellite for Iran by Russia,” IRNA quoted Novak as saying.

Citing Russian sources, IRNA news agency also reported that Iran and Russia are expected to prepare a proposal on creating a free trade zone by the end of 2016.

Novak has also touched upon a decision by Moscow to provide Iran with a loan worth 2.2 billion euros saying a draft deal on the loan is being prepared, according to IRNA.

One billion euros will be allocated for the construction project of a power unit at Bushehr power plant with a capacity of 1,400 megawatts and 1.2 billion euros will be allocated for the electrification of 495 kilometers of Iran’s railways.


Follow the authors on Twitter: @E_Kosolapova, @Farhad_Danesh