The state owned oil company of Azerbaijan (SOCAR) has signed a memorandum of understanding with the National Iranian Gas Company (NIGC) to supply natural gas to the firm from 2010.
The dead of SOCAR Rovnag Abdullayev revealed that a sales and purchase agreement would be signed before the end of the year, Oil and Gas Journal reported.
The deal will depend on the infrastructure between the two countries to transport the gas.
“Work is under way now to repair an existing pipeline to Iran,” said Abdullayev. “The compressor station in the border area of Astara will be upgraded,” he added.
“The capacity of compressors is being increased so that in the future we could export as much gas to Iran as we wish,” said Abdullayev, who also noted that the volumes of gas were still being discussed.
