Iran paid lingering gas debt to Turkmenistan: Oil minister
Iranian Oil Minister Javad Owji said Iran has settled a lingering debt to Turkmenistan for gas imports during previous administrations.
Speaking to reporters on the sidelines of a cabinet session on Wednesday, Owji said the current government has made great efforts to settle the debt since it came into office some 20 months ago, IRNA reported.
“Fortunately, with the good measures taken in the past 20-months, we have fully paid off the debt to the Turkmen side in three installments, and the full amount of the original debt has been settled,” he said.
Iran and Turkmenistan are both among the biggest natural gas producers in the world. Despite its major natural gas fields in the south, Iran has imported gas from Turkmenistan since 1997, especially for domestic use in its northern provinces during winter.
Under a swap agreement, Iran currently imports 5-6 million cubic meters per day of natural gas for domestic consumption from the northeastern neighbor, while exporting the same amount from its own natural gas supply to Azerbaijan in Iran’s northwest.
On Tuesday, the two countries signed five agreements to expand their economic and energy cooperation.
Owji expressed hope that Iran can expand its gas trade, including imports, exports, swap, and transit, with the signing of new agreements with Turkmenistan as well as other neighboring countries.