Iran to grant Turkey conditional gas discount

Iranian Ambassador says gas exports to Turkey may increase if Iran lowers prices

Photo by: AA
Photo by: AA

Updated Jul 28, 2015

Iranian Ambassador to Turkey Alireza Bigdeli said on Tuesday that Turkey will purchase more natural gas if Iran modifies its gas prices with a new agreement.

Alleging that Iran’s attitude in negotiations has been positive, Bigdeli pointed out the requirement of a legalised deal.

“It must be signed a new agreement which includes the price reduction. This agreement must be passed from the parliaments of both countries and legalised,” said Bigdeli.

Iran proposed doubling its gas exportation to Turkey during Turkish President Recep Tayyip Erdogan’s Tehran visit in April, but Turkey refused the proposal, with Energy Ministry saying that Iran’s offer is “unacceptable.”

Erdogan stated in his visit that Turkey buys the most expensive gas from Iran and it should be reduced.

Iran exports its gas to Turkey at a price of $480 per 1000 cubic metres, while Russia sells the same amount for $420 and Azerbaijan for $340.

According a the contract signed in 1996, Iran sells 10 billion cubic metres of gas per year to Turkey, which makes Turkey the biggest recipient of Iranian gas.

Bigdeli also claimed that Iran should build the 9th cross-country pipeline, which will cover a distance of nearly 1850 kilometres from the South Pars gas field the Turkish border, from which it will go on to deliver gas to Europe.

TRTWorld and agencies