Russia agrees to supply Iran with 55 bcm of gas, fund nuclear plant: What to know
Iranian Oil Minister Mohsen Paknejad is in Moscow this week, meeting with Russian Energy Minister Sergei Tsivilev on Friday.
Russia agreed on Friday to supply Iran with 55 billion cubic meters of natural gas annually and finance the construction of a new nuclear power plant as Iranian Oil Minister Mohsen Paknejad visited Moscow to deepen energy cooperation between the two countries under Western sanctions.
What happened: Paknejad, on an official visit to Moscow this week, met with Russian Energy Minister Sergei Tsivilev on Friday. Speaking to reporters, he announced that the two sides had agreed to a long-term gas supply deal that the state-run Shana News Agency put at around 150 million cubic meters of gas per day.
The deal includes plans for an overland route via Azerbaijan, with deliveries reaching Iran’s northeastern Astara region, near the Azerbaijani border. Paknejad also confirmed that Russia would fund the construction of a new nuclear facility in Iran.
Tsivilev stated that Russia may supply Iran with up to 1.8 billion cubic meters of gas this year, with pricing details still under negotiation. Paknejad added that further agreements with major Russian companies in upstream oil and gas sectors are expected to be finalized soon.
