Iran General NewsUAE's Crescent sees Iran gas imports in 3 months

UAE’s Crescent sees Iran gas imports in 3 months


ImageReuters: United Arab Emirates' Crescent Petroleum expects to start importing gas from Iran's offshore Salman Field in three months, its chairman said on Thursday.

By Jason Benham

ImageDUBAI, June 19 (Reuters) – United Arab Emirates' Crescent Petroleum expects to start importing gas from Iran's offshore Salman Field in three months, its chairman said on Thursday.

"It's imminent. It shouldn't be more than three months," Hamid Jaafar, also executive director of Crescent's parent company, Dana Gas DANA.AD, told Reuters.

"We are discussing additional quantities. We have an option for it but it needs agreement," he said.

The initial agreement between Iran and privately owned Crescent, was for the supply of 600 million cubic feet per day.

Dana Gas will process and transport the gas to utilities and industrial users in the UAE.

Iran and Crescent have been locked in long negotiations about the price of gas exports from the Salman field to the UAE since 2006.

Iran said in April that it would use the gas it planned to sell to Crescent Petroleum domestically if a long-running dispute with the UAE firm over price was not resolved.

The UAE needs the gas to meet rapidly rising domestic demand from industry and power plants.

The UAE needs gas from the $1 billion project to meet rising domestic demand from industry and power plants, but the deal became controversial in Iran after some politicians said the export price should be higher.

Jaafar said his company will not be able to take part in Iraqi oil projects as it had been blacklisted by the federal government because it was involved in projects in the semi-autonomous Kurdish region.

Iraq's central government has criticised deals that international energy firms have struck with the semi-autonomous Kurdish regional government (KRG), calling them illegal.

The KRG, which has clashed with Baghdad over draft oil legislation, has countered that the deals are legal and comply with Iraq's constitution.

Dana won a service contract from the Kurdish regional authority in April 2007 for the rapid installation of processing and transmission facilities at the Khor Mor field to begin supplying gas for power generation by January 2008.

The gas is to supply two power plants with a capacity to generate 1,250 MW of power near the cities of Arbil and Sulaimaniya.

Jaafar said that he hoped to start supplying gas to the Arbil plant by the end of July and to Sulaimaniya in 2009. (Reporting by Jason Benham; editing by James Jukwey)

Latest news

Iran’s Regime Claims To Fill Global Energy Gap Despite Crippled Petroleum Sector

In recent weeks, the Iranian regime’s officials have been constantly exaggerating their huge capacity in oil and gas reserves...

What Is Happening in Iran?

Following the brutal killing of Masha Amini, the Iranian people have once again united to fight and defeat the...

Iran Regime’s Ministry of Culture’s Decision To Eliminate Children’s Intellectual Centers

With the so-called ‘Cultural Revolution’ which took place between 1980 and 1983, the Iranian regime tried to purge the...

Water Shortage Crisis and the Destruction of Iran’s Water Resources

Iran is currently suffering from a number of dangerous natural disasters. One of the most worrying is the drying...

Economic Freedom Under the Rule of the Mullahs in Iran

The Fraser institute published its annual report of the index of economic freedom on September 8, which measured the...

Iran’s Regime Continues Its Internet Restriction Project

This is part of the outlook of a document by the Iranian regime’s Supreme Council of Cyberspace, which has...

Must read

Medvedev: Iran sanctions may be needed

AP: Imposing more sanctions on Iran over its nuclear...

Iran’s new hardline government to get tough on culture

AFP: Iran's new culture minister has said he is...

You might also likeRELATED
Recommended to you