Iran-Armenia Pipeline Can Cover Armenia's Gas Demand

Iran-Armenia pipeline has the capacity to completely cover Armenia’s gas demand, said Armen Movsisyan, Energy and Natural Resources Minister.

The pipeline has a capacity of 2.2 billion cubic meters a year, while Armenian domestic demand is just 1.7 billion cubic meters, Tehran Times quoted Movsisyan as saying.

“At present, Iran sells its natural gas to Turkey at $335 per 1,000 cubic meters, but starting with the next year the price will rise to $440. As Turkey consumes huge volume of gas, the sides can kick off talks, and we will be offered the price of not less than $370,” Movsisyan said at the parliament debates over the gas price, Tehran Times reported. 

The pipeline has a potential to boost capacity to 3 billion cubic meters, he said.

Iran-Armenia gas pipeline was initiated in 2004 and supplies to Armenia started in 2009 under “gas in exchange for electricity” principle. 

Armenia imported over 2.4 billion cubic meters of gas in 2012, of them over 1.9 billion from Russia, and 488.3 million from Iran, Tehran Times said.