Iran to Supply 20 mcm of Gas to Oman Per Day

Iran will export 20 million cubic meters (mcm/d) of gas per day to Oman, Iranian Oil Minister Bijan Namdar Zanganeh said, reported Fars News Agency of Iran.

"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 Saturday.

Iran and Oman signed a memorandum of understanding in 2009 to build a 200 km undersea pipeline. Last year, the two countries inked a gas supply deal where Iran would supply gas to Oman for 25 years via undersea pipeline. The deal has been valued at about $60 billion.

In September 2013, managing director of the National Iranian Gas Company (NIGC), Hamid Reza Araqi, said 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, Fars News added.

Araqi 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.

However, late last month media reports suggested that Oman is yet to appoint a consultant to conduct a feasibility study for the Iran-Oman gas pipeline, which could probably delay the implementation of the project.