Sanctions-struck Iran and Russia discuss oil, gas swaps

Russia and Iran are in talks on possible oil and gas swaps, Russian deputy prime minister Alexander Novak told journalists at a forum in Moscow on October 5, according to Interfax.

"We are already working with [the Iranian side] along this vector, we are working on certain routes and mechanisms. This applies to oil and gas swaps," Novak said.

Russia first raised the possibility of oil and gas swaps with Iran in late May, Novak said, noting that the parties intended to agree on a final proposal on the arrangement in the near future.

Politico reported in August that Russia was planning to use oil swaps with Iran as a means of circumventing international sanctions if Tehran's nuclear deal with world powers is reinstated. Russian oil exporters face an EU ban on all seaborne supplies this December, and this is set to be extended to Russian petroleum products as well early next year.