Iran is ready to deliver natural gas and liquefied petroleum gas (LPG) to Kuwait as the two countries hold a high-level business meeting.
“The Islamic Republic of Iran is ready to export gas to Turkey through pipeline and the gas export price will be decided upon a mutually satisfactory basis,” said Valiollah Afkhami-Rad, Iran’s Deputy Minister of Industry, Mine and Trade.
Iran, which holds the world’s largest natural gas reserves, has been working towards improving its gas production by attracting foreign and domestic investment, especially in its South Pars gas field.
Welcoming potential investment by Kuwaiti financiers in his address to the 12th meeting of Iran-Kuwait Joint Business Committee, Afkhami-Rad stressed that Iran is also ready to export sulfur and LPG to Kuwait.
Iran’s Oil Ministry has recently unveiled the proposed outline of its new oil contracts aimed at attracting more foreign companies to develop Iranian hydrocarbon reservoirs.
The Iranian Petroleum Contract (IPC) is replacing “buy-back” contracts which foreign companies no longer find attractive.
Under a buyback deal, Iran’s government agrees to pay contractors a fixed price for all volumes of hydrocarbons the contractor produces.
However, under the IPC, National Iranian Oil Company (NIOC) will set up joint ventures for crude oil and gas production with international companies which will be paid with a share of the production.
