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Gazprom unit plans refinery in Armenia for Iranian oil

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  • Gazprom unit plans refinery in Armenia for Iranian oil

    AFX News Limited
    January 26, 2007 Friday 1:22 PM GMT


    Gazprom unit plans refinery in Armenia for Iranian oil


    MOSCOW (AFX) - Gazprom Neft, the oil subsidiary of Russian gas giant
    Gazprom, is considering building a refinery in Armenia near the
    border with Iran, with a view to processing Iranian oil there,
    according to a press report in Russian daily Kommersant.

    'We are studying construction of a refinery in Armenia, but cannot
    give any more detail for the moment', Natalia Vyalkina, spokeswoman
    of state-run Gazprom Neft told AFP. 'We are in discussions with
    Armenian and Russian parties', she added, but refused to talk about
    discussions with Tehran.

    Quoting sources close to the matter, Kommersant said Gazprom Neft
    aimed to import into the former Soviet republic of Armenia crude
    extracted in Tabriz, a border region of northern Iran.

    'Russia to provide a strategic pipeline to Iran and Armenia',
    Kommersant headlined, underlining the 'essentially political' nature
    of this project, which has little economic value because of transport
    costs, according to analysts quoted by the paper.

    The project would involve pipelining crude some 200 km from Tabriz to
    Armenia, according to the newspaper, then re-forwarding refined oil
    to Iran by rail.

    'This Armenian refinery could be useful for Iran in the event of
    military operation by the United States against Tehran', as
    Washington would not dare to attack an installation in Armenia,
    Kommersant suggested, adding that, 'for Russia, participation in this
    project could risk new friction with the United States'.
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