Iran and Russia have nearly finalized a broad gas exchange agreement, with technical work underway to implement the deal, caretaker Oil Minister Hamid Bovard said in Moscow on Sunday.
Bovard said the agreement was reached in principle during a previous meeting between the two countries’ presidents in Turkmenistan. He added that gas exchange could begin in the near future if Russia’s proposed pipeline project through Azerbaijan proceeds.
The two countries began expanding gas cooperation in June 2024, when the National Iranian Gas Company (NIGC) and Russia’s Gazprom signed an MoU on potential Russian gas supplies to Iran. In 2025, officials explored a route through Azerbaijan, initially targeting 1.8 billion cubic meters per year, with potential capacity of up to 55 bcm annually in later phases.
As of June 2026, gas pricing and payment arrangements remained unresolved in negotiations over a Russian gas import contract. Bovard did not clarify whether the agreements nearing completion concern the proposed import project or a separate gas exchange arrangement.
Bovard added: “The two countries are also expanding cooperation in the oil sector, with Russian companies participating in the development of four major Iranian oil fields. Bovard said the projects were progressing and that further discussions would be held on the sidelines of the eighth summit of the Gas Exporting Countries Forum (GECF).”
According to Bovard, Iran also plans to use the GECF meetings to discuss broader energy cooperation with member countries and present its positions on international developments and damage to its energy infrastructure.
The GECF’s 28th ministerial meeting is scheduled for Monday, October 26, followed by the eighth summit of member-state leaders on Tuesday, October 27, in Moscow.