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Agreement between Gazprom, NIGC to turn Iran into gas hub — Iran’s acting president

Cooperation between the two countries will lead to signing of larger agreements and contracts, Mohammad Mokhber said

DUBAI, June 26. /TASS/. The signing of a memorandum on supplies of Russian gas to Iran between Gazprom and National Iranian Gas Company (NIGC) will turn the Islamic Republic into a regional gas hub and become a basis for concluding even larger Russian-Iranian contracts, Iran’s acting President Mohammad Mokhber said.

"With this memorandum signed, Iran will become a regional gas hub," the president’s press service quoted him as saying at a meeting with Gazprom CEO Alexey Miller in Tehran.

"Tehran’s and Moscow’s intention to increase the level of relations sends an important signal to the whole world, while the beginning of the way of gas cooperation between the two countries will lead to signing of larger agreements and contracts," the Iranian politician said.

According to the press service of Iran’s acting President, Miller said at the meeting with Mokhber that the Russian holding and its subsidiaries "intended to turn the memorandum into a contract for its provisions to be implemented as soon as possible."

Oil Minister of Iran Javad Owji said in an interview broadcast by the state TV channel IRIB following the meeting with Miller that "there are grounds to believe that the memorandum will soon turn into a contract and become an important transaction both for Iran and the Russian government."

Russia and Iran together own more than 60% of global gas reserves, while the Russian-Iranian agreements will facilitate the formation "of an energy balance in the region," Owji said, adding that the country "with its infrastructure and gas pipelines will be fully ready to receive this volume of gas."

Earlier on June 26 Gazprom and NIGC signed a strategic memorandum on consideration of organization of Russian gas supplies to Iran as part of Miller's visit to Tehran.

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