Iran able to double Turkey gas delivery

Iran can nearly double its gas shipment to Turkey from the current 36 million cubic meters (mcm) per day with the start-up of new facilities, a top Iranian gas official says.

“At present, there is suitable ground and necessary capacity for Iran to double its gas exports to Turkey,” Hamid Reza Araqi, managing director of National Iranian Gas Company (NIGC), said on Monday.

He added that Iran can enhance its gas production due to new developments in the upstream oil sector.

Araqi, however, said Iran and Turkey would be required to sign a new contract for any increase in the volume of gas delivery.

Iran’s natural gas is of crucial importance to Turkey as the energy-hungry country uses a significant portion of imported Iranian gas to generate electricity.

Turkey has offered to raise its gas purchase from Iran to 20 billion cubic meters (bcm) a year provided that Tehran cuts the price.

According to the latest international estimates, Iran sits atop the world’s largest gas reserves.