Iran Negotiates to Export LNG via Oman

Iranian Oil Minister Bijan Namdar Zanganeh and Oman's Minister of Oil and Gas Mohammed Al Rumhy have discussed ways to use Oman’s facilities to export Iranian LNG. 

The two sides met on the sidelines of the 17th ordinary ministerial meeting of the Gas Exporting Countries Forum (GECF) in Tehran on November 21.

Oman is an observer member of the GECF.

Alireza Kameli, the director of the National Iranian Gas Exports Company, said that the ministers also discussed both offshore and onshore possibilities for exporting Iranian gas to Oman, adding that offshore studies are being carried out, IRNA news agency reported on November 23.

Currently, 23% of Oman’s capacity for LNG production is unused. Iran plans to use this capacity to export LNG in return for paying the costs of turning natural gas into LNG. Right now the idle capacity is about 1.5 million metric tons per year.

Iran has already signed a contract with Oman to deliver 10 billion cubic metres per annum (mcm/a) of gas through an underwater pipeline to Oman, Kameli said in October.

He added that a new contract would be signed with Oman. Part of the gas exported from Iran to Oman will be used for Oman’s domestic use and the rest will be used to produce LNG for export.

Oman had requested 2 billion cubic feet of gas per day from Iran in order to supply its LNG production and other industrial units.