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Conditions favorable for boosting Iran-Gazprom cooperation

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  • Conditions favorable for boosting Iran-Gazprom cooperation

    Conditions favorable for boosting Iran-Gazprom cooperation
    Print Date : Sunday, October 21, 2007


    TEHRAN (PIN) - Oil minister's deputy for international affairs here
    Saturday termed current conditions as satisfactory for expansion of
    cooperation between Iran and Gazprom as well as other oil and gas
    companies of Russia and Caspian Sea littoral states.

    Hossein Noqrekar-Shirazi pointed to the recent meetings of Russian
    company Gazprom officials with Iranian oil officials and added, `Given
    appropriate atmosphere created by the summit of Caspian Sea littoral
    states in Tehran and the first visit of Gazprom officials' to Iran,
    the sides have explored avenues for bilateral and multilateral
    cooperation.'

    According to the official, the parties reviewed the already defined
    cooperation and enlisted their future cooperation.

    `Cooperation revolves around oil and gas projects and development of
    refineries, pipelines, and phases of South Pars field,' said the
    deputy oil minister.

    National Iranian Oil Co. (NIOC) and Gazprom would form working groups
    in the near future, said Noqrekar-Shirazi, adding the working groups
    had already helped the two sides reach agreement in the gas sector in
    general and liquefied natural gas (LNG) proposed by Gazprom in
    particular.

    Last Wednesday, Gazprom officials and Iran's Acting Oil Minister
    Gholamhossein Nozari discussed reinforcement of cooperation.

    Gazprom said it was still positive about joint project between Russia,
    Iran, and Armenia to construct an oil refinery in Armenia.

    Gazprom Neft - the oil arm of Russian energy company Gazprom =80' is
    reportedly considering an investment of $1.7 billion to build the
    joint oil refinery, which will process oil pumped from Tabriz in
    northern Iran, `The Messenger' reported.

    Gazprom officials said it would process 5-6 million tons of oil
    annually. Some would be used by Armenia; most would be shipped back
    to Iran.

    Valery Golubev, head of Gazprom's Investment and Construction
    Department, commented that the project was still in the offing but an
    appropriate 400-hectare site for the refinery had not yet been found.

    Some Russian commentators suggest the project was motivated by
    political rather than financial interests, as usually the most
    economically productive location for an oil refinery was near a major
    pipeline route or at a seaport.

    However, Gazprom replied that with effective management, the refinery
    could be economically profitable and may offer competition for
    Azerbaijan, the main oil exporter in the South Caucasus.

    However, Regnum quoted Gobulev as saying, `Building an oil refinery in
    Armenia is interesting for Gazprom from the geopolitical point of
    view.'
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