Turkey and Iran progress on energy cooperation talks, to increase supply

Turkish Energy Minister Hilmi Guler and Iranian Oil Minister Gholam-Hossein Nozari held a meeting in Tehran on Saturday. According to the news, the two sides discussed developing South Pars phases 22, 23 and 24 in the meeting.

Guler said, “Iran and Turkey have inked a contract for developing some of the South Pars’ phases and we are negotiating for starting the implementation.”

Turkey and Iran signed a preliminary agreement on energy cooperation and agreed to develop part of the South Pars gas field in the Persian Gulf in 2007.

“The construction of an 1800-kilometer pipeline for transferring natural gas from Assaluyeh to the Turkish border, (plans to) increase the volume of Iran’s gas exports to Turkey, and the transit of natural gas to Europe are other topics that were discussed during the meeting,” Nozari said.

After the failure of the two sides to finalize an official contract during an August visit by Iran's president to Istanbul, rumors recently revealed preparations have reached final stages. Turkey is planning to make a $3.5 billion investment in Iran for the exploration and production of natural gas.

An energy deal with Iran is also considered important in realizing the multi-national natural gas project Nabucco, aimed at transferring Caspian gas to Europe via Turkey.

Two ministers also agreed for an increase in the daily natural gas export from Iran to Turkey, the report said.

“Currently Iran exports 50 million cubic meters of natural gas to Turkey daily and we agreed to add another 23 million cubic meters to that figure,” Nozari said.

Turkey mainly depends on Russia and Iran for natural gas.

“Turkey and Europe need natural gas and we hope Iran meets our demand,” Guler said.