Gas talks with Oman ongoing, Iranian minister says

Business Materials 24 August 2023 09:01 (UTC +04:00)
Maryana Ahmadova
Maryana Ahmadova
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BAKU, Azerbaijan, August 24. Discussions continue about gas exports to Oman, the revival of the contract with Pakistan, and trade arrangements with Russia, Iranian Deputy Oil Minister and CEO of the National Iranian Gas Company (NIGC) Majid Chegeni said, Trend reports.

He also added that Iran has held talks with a number of European countries regarding the possibility of importing gas through Türkiye.

Oman LNG, a government-owned producer, has entered into an agreement to provide liquefied natural gas to Securing Energy for Europe (SEFE), a German gas importer previously known as Gazprom Germania.

A shortage of natural gas in Oman led to the replacement of imports with Iranian energy resources. In turn, Iran intends to supply Russian gas to Oman, which will indirectly channel it towards Germany.

As per the definitive term sheet, Oman LNG is set to deliver approximately 400,000 tons of LNG to SEFE, commencing in 2026, as stated by Oman's energy ministry.

This marks Oman LNG's inaugural collaboration with a German company, and the contract spans a duration of four years.

The Oman gas pipeline project implies that Iran will export 10 billion cubic meters of gas per year for 25 years. This holds significant importance for Oman, where gas production is declining. This gas is essential to meet domestic demand and to fully utilize the gas plant with an annual capacity of 12.4 billion cubic meters.