Tehran seeks to use Oman LNG plant

September 1, 2008 - 0:0

TEHRAN (Trade Arabia)-- Iran wants to use an Omani liquefied natural gas (LNG) plant to supercool its gas so it can be exported by ship to other countries.

Iran’s oil minister will travel to Muscat next week to discuss this plan, a report in Gulf Daily News said.
Iran has the world’s second biggest reserves but has been slow to develop gas exports and has no LNG facilities that can supercool gas.
Oil Minister Gholamhossein Nozari’s discussions would cover Omani investment in Iran’s Kish gas field in the Persian Gulf and the export of Iranian gas to that country and Iran’s partnership in the Omani LNG industry.
National Iranian Offshore Oil Company managing director Mahmoud Zirakchianzadeh said the two countries were in negotiations on the export of one billion cubic feet of Iranian gas per day to Oman.
A memorandum of understanding has already been signed and Iran hopes the final agreement on exporting gas to Oman will reach the signing stage by the end of the year.
The gas heading to the Omani LNG facility will be used by the National Iranian Oil Company, a state firm which oversees Iran’s hydrocarbons industry, in its international marketing and sales.
Some of the Iranian gas would be used by Oman.
The two countries have also talked of developing another Persian Gulf gasfield, called Hengam in Iran and West Bukha in Oman.
Iran’s gas reserves were put at 27.80 trillion cubic metres at the end of last year, compared to Oman’s much more modest 690 billion cubic metres.