Copenhagen Discusses Coop. in Oil, Renewables

Copenhagen Discusses  Coop. in Oil, Renewables Copenhagen Discusses  Coop. in Oil, Renewables

Denmark's Foreign Minister Kristian Jensen discussed grounds for cooperation in oil and renewables sectors in separate meetings with senior Iranian officials in Tehran.

"Iran is interested in cooperation with Denmark to develop South Pars oil layers," Oil Minister Bijan Namdar Zanganeh said after the meeting with Jensen on Tuesday, Shana reported.

"The Danes are interested in Caspian Sea projects as well, but we want them to play a role in South Pars … We are willing to expand ties in upstream sector, oil services, petrochemical and refinery [projects]."

Jensen arrived in Tehran late Sunday at the head of a high-profile delegation comprising representatives of 58 economic enterprises.

Zanganeh added that Iran has initiated talks with high-ranking executives of Denmark's Maersk Group to develop its oilfields after the sanctions removal.  Maersk is a Danish business conglomerate that primarily operates in transportation and energy sectors.

The oil minister said Copenhagen can offer insurance and financial backing to strengthen the country's foothold in Iran's post-sanctions market.

Zanganeh added that Danish companies have offered to cooperate in the downstream sector, but their present proposals are not attractive for Tehran.

“Iran is the next big thing … There is a big potential for Danish companies in the Iranian market,” Jensen said, referring to the upcoming removal of sanctions that targeted the country's nuclear program to open up the last frontier market in Iran.

  Turbine Production

In a separate meeting with Jensen late on Monday, Energy Minister Hamid Chitchian announced the European state has offered to build a wind turbine manufacturing plant in Iran.

"The primary goal of the meeting was to introduce Iran's investment opportunities in water and electricity sectors to Danish investors," Chitchian noted.

He said the Danes are planning to use Iran as a platform to expand their sales in the Persian Gulf region. Chitchian stressed that the imminent implementation of the final phase of Tehran's nuclear deal, officially known as the Joint Comprehensive Plan of action, has prompted major international delegations, including the visiting Danish energy and economic mission, to rekindle cooperation with the energy-rich Iran.

Earlier in October, vice president of Denmark's Vestas—the world's largest manufacturer, seller, installer and service provider for wind turbines—visited Tehran, during which Inigo Sabater expressed readiness to invest $100 million in Iran's renewable energy sector. Referring to the "very good" agreements reached by Danish officials and the Iranian Economy Ministry on Monday, Chitchian expressed optimism that the two countries can establish fruitful collaboration, especially in the renewables sector.

Based on reports, Iran experienced maximum growth in the net weight of traded commodities with Denmark in 2014, increasing by 983%,compared with the year before, followed by Bulgaria and the Netherlands with which Iran recorded a 310% and 125% growth in terms of trade volume respectively.

With the rise in bilateral trade, Denmark could become Iran's ninth largest economic partner, which was ranked, in 2013, as the 20th country with the most economic relations with Iran.