TEHRAN (Mehr News Service) - Chief Executive of the National Iranian Gas Company (NIGC) Hamid Reza Araghi said that Iran's gas export volume to Armenia will increase in the current year. Iran and Armenia signed a barter gas and electricity contract in 2004, according to Araghi.
"Under the deal, it was stipulated that one million cubic meters of gas will be exported to Armenia daily," Araghi said.
It was agreed that Iran's gas export volume to Armenia and also dispatch of electricity from Armenia to Iran should be increased as of 2018. Iran's export of gas to Armenia will thus increase from one million cubic meters to 1.6 million cubic meters daily this year.
"Earlier, a contract for exporting Iran's gas to Armenia was signed with the aim of bartering gas and electricity, based on which, Armenia pledged to deliver three KW/hr electricity to Iran in exchange for each cubic meter delivery of gas from Iran," Araghi said.
Elsewhere in his remarks, the deputy oil minister explained that the electricity received from Armenia will be delivered to the Iran Power Management, Transmission and Distribution Company (TAVANIR). In tandem with Iran's increased volume of gas to Armenia, Araghi concluded that Armenia is able to generate electricity and deliver to the National Iranian Gas Company within the framework of rules and regulations.
Earlier, Director of the National Iranian Company for International Affairs Behzad Babazadeh revealed the presence of a high ranking Armenian officials in Tehran in the current week for negotiating over new gas rates and also increase of Iran's gas export volume to Armenia.
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