Muscat: Iranian Oil Minister Bijan Namdar Zanganeh has announced that Iran will soon begin supplying gas to Oman, as per the agreement reached between the two countries.
"Gas negotiations with Oman are over and as both sides have agreed, Iran will export 20 million cubic meters (mcm/d) of gas per day to Oman in the near future," Zanganeh said on Saturday, according to Iran's Fars news agency.
In August 2013, Zanganeh and his Omani counterpart signed a Memorandum of Understanding (MoU) to accelerate the delivery of shipments called for in the gas contract between the two sides.
Further, in September 2013, managing director of the National Iranian Gas Company (NIGC), Hamid Reza Araqi, explained that once the contract is signed, Tehran and Muscat will need 2.5 to 3 years to build the required infrastructures for supplying Iranian gas to Oman.
He also said that the National Iranian Gas Company was studying different aspects of the issue, including economic assessments of the contract and a report on possible shipment routes.
After several years, reaching agreement on gas pricing is a breakthrough, the NIGC managing director said, adding that the two countries have many common interests for boosting cooperation, including supplying Oman's LNG units with gas.
Meanwhile, Salim Nasser Said Al Aufi, undersecretary of Oman's Ministry of Oil and Gas, recently said that the tender to prepare the feasibility study of the project to build a 260-km-long pipeline that will carry Iranian gas to Oman, has not yet been finalised.