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Iran to Start Gas Exports to Turkey
Iran is to Start exporting natural gas to Turkey on Monday in line with their agreements signed in recent years, the state-run IRNA news agency reported Sunday.
"The project for the supply of Iranian natural gas will be inaugurated Monday," a statement of Iran's Oil Ministry confirmed.
Iran and Turkey originally signed a 20-billion-dollar agreement in August 1996, under which Iran, beginning from 1999, is to supply Turkey with 3 billion cubic meters (140 billion cubic feet) of gas per year over a 22-year period. But the initial delivery has been delayed mainly due to Turkey's delay in completing pipeline construction.
The two sides singed an additional agreement last year. According to it, the volume of Iran's gas exports to Turkey should gradually increase and reach 10 billion cubic meters (350 billion cubic feet) per year from initial 3 billion cubic meters by 2007.
While the contract was extended from 22 to 25 years, Iran's total supply would also increase to 228 billion cubic meters (8,000 billion cubic feet) from the initial 192 billion cubic meters (6, 800 billion cubic feet).
Iran has the world's second largest natural gas reserves estimated at 20,000 billion cubic meters (700,000 billion cubic feet). Bordering northwest with Turkey, gas-rich Iran is a favorable supplier for Turkey to meet domestic demands.
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