Baku, Azerbaijan, June 2
By Dalga Khatinoglu – Trend:
Iran has "perfectly managed" the unexpected gas export cut by Turkmenistan since January 1, 2017, Ali Shakarami the head of operation Dispatching Control Centre of NIGC told Trend.
According to him, Iran's housing sector was supplied properly with gas in peak demand period (winter), though the country had to use more liquid fuels in power plants.
Turkmenistan stopped gas deliveries to Iran in January 1, 2017 due to long-delayed $2 billion debt. Iran disagrees, saying the sides should re-calculate the value of gas import.
Iran imported 9 billion cubic meters of gas from Turkmenistan in 2015, but according to an official document, prepared by Iran's oil ministry and seen by Trend, the volume plunged to 5.86 bcm in 2016.
Shakarami said that Iran has doubled gas output from South Pars to above 500 mcm/d and in coming years the figure would reach 700 mcm, while the domestic demand growth wouldn’t increase significantly.
Iran has increased gross gas output by 25 bcm during last fiscal year to 285bn m3 (97 percent was methane), including flaring and re-injection.
National Iranian Gas Company’s total produced refined gas stood at 230 bcm, while the country’s gross associated gas output also was about 21 bcm, of which about 33 percent was flared.
In total, Iran consumed about 210 bcm of sweet gas during the last fiscal year (started on March 21). It also exported more than 9 bcm of gas. Iran exports gas to Turkey and barters gas with power from Armenia.
Shakarami said that despite cutting Turkmen gas export, Iran takes this country’s gas and delivers the same amount to Azerbaijan.
According to him, the gas swap amount can increase in case the sides find common ground.
Turkmenistan delivers gas to Iran’s Qadr Company and Azerbaijan receives the same amount of gas on border with Iran, paying cash fee to the Islamic Republic. During 2016 Azerbaijan received more than 290 million cubic meters of gas from swap operations.
Iran says that if Turkmenistan decreases its gas price for the Islamic Republic, Iran would resume gas import from this country, or else Tehran would sue Ashgabat for cutting gas deliveries in January 2017.
Previously, Araghi said that Iran would sue Turkmenistan for three disputes: gas price, damage from sudden gas export cut, as well as gas quality.
Araghi said that the documents would be submitted to The International Criminal Court (ICC) and Turkmenistan has already been informed about the issue.
Iran manages unexpected Turkmen gas export cut
Baku, Azerbaijan, June 2