Iran, Russia to sign oil agreement

Business Materials 9 September 2014 16:58 (UTC +04:00)

Tehran, Iran, Sept. 9

By Milad Fashtami - Trend:

Iran and Russia will sign a memorandum of understanding for cooperation in the oil sector on Sept. 9.

Iranian Oil Minister Bijan Namdar Zanganeh and Russian Energy Minister Alexander Novak are expected to sign the document at the end of the 11th meeting of Iran-Russia Joint Cooperation Commission, Iran's IRNA News Agency reported on Sept. 9.

Deputy Oil Minister Ali Majedi said that by signing the memorandum of understanding, the two countries will open a new chapter in bilateral cooperation.

It was previously reported that the two sides will discuss bartering goods for petrochemical products and chemical catalysts during the two-day talks in Tehran. However, Zanganeh rejected the claims, saying the two countries have no contract for bartering.

Novak previously said that U.S.-generated sanctions will not affect the two countries bilateral relations.Russian Energy Minister Alexander Novak is in Tehran for an official visit at the invitation of Iranian oil ministry.

Novak has previously visited Tehran in April. During his visit, the Russian minister held a meeting with Iranian President Hassan Rouhani.

Iranian Oil Minister Bijan Namdar Zanganeh said on Sept. 6 that Iran sees no limits to expand economic ties with Russia.

"The two sides will explore ways to expand economic ties, particularly in agriculture, transportation, mining, energy, and technology transfer," the Shana news agency quoted Zanganeh as saying.

On Aug. 5, Russia and Iran signed a Memorandum of Understanding for a period of five years, signaling a sharp intensification in economic cooperation between the two countries. The document lays the foundation for a comprehensive multi-billion dollar deal for trade in the oil sector between the two nations.

At the time Russian Energy Ministry said that the memorandum provides for the expansion of trade and economic cooperation in the fields of construction and reconstruction of power generating capacity, the development of power grid infrastructure, the oil and gas sector, as well as the supply of machinery, equipment and consumer goods.

Edited by CN