Basra Gas Export Agreement Finalized

Basra Gas Export Agreement Finalized

The agreement for exporting gas to the Iraqi city of Basra is all but finalized, managing director of the National Iranian Gas Exports Company said Monday, Shana news agency reported.
"We held good talks with Iraqi energy officials and we will soon conclude our discussions on the final terms of the agreement," Alireza Kameli stated, adding that export of gas to the Basra port will commence one year after signing the final agreement, probably in mid-2016.    
A new round of gas export negotiations between Iran and Iraq were held last week in Baghdad, attended by officials from the National Iranian Gas Company (NIGC).
Currently, final tests are being carried out on the pipelines to transfer gas from Iran to its western neighbor.
Gas will be exported from Naftshahr region in Kermanshah Province in the first stage, by diverging branches of the Sixth Iran National Gas Trunkline (IGAT 6). Approximately 7-10 mcm in the first phase and then 2o mcm of gas will be exported via the route to Iraq.
Pipe-laying operations for the project have already reached as far as Khorramshahr, in Khuzestan Province, and it would be possible to extend a branch from IGAT6 for gas exports to Basra.
He said that Iran would initially supply gas to Basra at 10 mcm/d, adding that the volume could increase "if there's increase in demand from the Iraqi side."
Kameli said there is no limit on gas exports to Iraq, pointing to the 100-million-cubic-meter (mcm) increase in gas production from South Pars gas field.
To transfer gas to Iraq two routes have been mapped out, which will include Basra and Baghdad. The pipeline for the latter is near completion.
The Islamic State's offensive in Iraq over the past few months disrupted Iran's plan to deliver gas to Iraq, Kameli said, adding that the delegation will also discuss security issues concerning problems caused by IS on the way of building gas infrastructures in Iraq's Diyala Province.
Tehran and Baghdad signed a draft deal in 2013 to transfer Iran’s gas to two Iraqi power plants. There are plans to export 30-50 million cubic meters of gas per day to Iraq, the revenues from which is estimated at $4-6 billion.


Short URL : http://goo.gl/wVAGXQ

You can also read ...

China Rejects US Sanctions, Vows to Continue Iran Crude Purchase
As the US and Iran continue to trade barbs over the...
India Vying for US Waiver
India, the second biggest crude customer of Iran, may cut its...
Venezuela Braces for Pricey Gasoline
Gasoline prices in Venezuela will soon catch up with world...
Zanganeh to Attend OPEC, Non-OPEC Committee Meeting
Iran's Oil Minister Bijan Namdar Zanganeh will attend a...
S. Korea Iran Crude Imports Up 15%
South Korea’s imports of Iranian crude rose around 15% in July...
Indonesia Cuts Oil Imports
Indonesia’s PT Pertamina will get an extra 225,000 barrels per...
UK's Quercus Halts Iran Renewable Project
British renewable energy investor Quercus said it will halt...
NPC Not Worried About Exports
The National Petrochemical Company is not concerned about...