Iran and Nicaragua are to expand ties, especially in the energy sector, the Nicaraguan ambassador in Tehran said.
“Strategic ties between the Latin American country and Iran have a very good status and Iran is an important state and ally for Nicaragua,” Isaac Lenin Bravo Jaen added in the southern city of Bushehr where he met with Mayor Hossein Heydari.
Referring to a trip by President Ebrahim Raisi to Nicaragua within the next two months, the ambassador noted that it would further strengthen bilateral relations, IRNA reported.
The diplomat added that it is of paramount importance for the Nicaraguan government that a sisterhood agreement is signed between Bushehr and Nicaragua’s city of Bluefields, as the deal will help the two cities carry out joint projects.
“The price of gasoline is very high in Nicaragua. Private companies import fuel from the United States and Mexico at a very high price since the state-owned fuel company is under US sanctions,” he said.
“Under such conditions, Iran can provide a lot of help in exporting fuel to our country, which would be profitable for both countries.”
Referring to negotiations regarding the construction of a refinery by Iran in the Latin American country, he said, "The price of each liter of gasoline in Nicaragua is more than $1.3 and I hope we can control it by building the new refinery.”
Preliminary talks indicate the refinery, located near Puerto Sandino in the Pacific Ocean, will have a refining capacity of 150,000 barrels of crude oil per day, of which Nicaragua will consume 50,000 barrels and the rest will be exported to Central America.
The mayor of Bushehr said the city has long been of interest to major countries, with many governments having consulates in this port city.
Historical Structure
Heydari said Bushehr has a good capacity for cooperation with Bluefields, the capital of the South Caribbean Autonomous Region in Nicaragua, as it can help supply energy and food in many countries, thanks to its vast resources.
The economy of Nicaragua is dependent on agricultural and livestock products, which has become the main exporter of coffee to Iran in recent years.
Currently, Nicaragua imports oil and petroleum products from the US, Venezuela and Costa Rica. Its petroleum consumption is about 35,000 barrels per day, which are supplied through the country's only refinery and imports. The refining capacity of the refinery operated by Puma is about 20,000 barrels.
In recent months, Iran and Nicaragua have signed cooperation agreements in energy and agriculture sectors, as well as for medicine exports and educational exchanges with universities.
Last May, during Oil Minister Javad Owji’s trip to the Latin American country, Iran pledged to supply fuel to Nicaragua, participate in oil exploration and consider investing in a refinery to neutralize the effects of US and European sanctions.
