Iran’s Oil Minister Javad Owji voiced Iran’s determination to pay the arrears of gas debt to Turkmenistan.
Talking to reporters following a meeting with a Turkmen delegation led by Foreign Minister Rashid Muradov, Owji said: "We have two 25-year gas contracts with Turkmenistan, through which we used to import 40 mcm/d of gas. Unfortunately, in the previous government, Turkmenistan's gas exports to Iran were cut off due to non-payment of Turkmenistan's claims and contrary to the friendly relations between the two countries, this issue was referred to the International Court of Arbitration, and this court determined the exact amount of Iran's debt.”
He continued: "Fortunately, good negotiations have been held to settle the debt to Turkmenistan. These negotiations will be continued at the level of experts of the National Iranian Gas Company and the Central Bank in coming days. With the favorable solutions and proposals that we have presented, the debt of the Turkmen side will undoubtedly be settled and we are determined in this regard."
He further noted that the resumption of Turkmen gas exports to Iran could be the first step in the comprehensive development of relations between the two neighbors, noting that the policy of the existing administration is to expand bilateral relations with neighbors, including Turkmenistan.
Owji went on to say Iran's readiness to export technical and engineering services to Turkmenistan, saying that Iran has a high capacity in the petrochemical, refinery, onshore and offshore drilling, and oil and gas industry equipment that can be provided to Turkmenistan.