Iran and Oman discussed the gas pipeline project

Almaty. February 22. Silkroadnews - In Tehran the Iranian Minister of Petroleum Bijan Zangeneh and Omani Minister of Foreign Affairs Yusuf bin Alawai discussed the gas pipeline construction project to go from Iran to Oman at the bottom of the Persian Gulf and refining joint ventures in oil industry, Trend reports.
“Iran and Oman are interested to strengthen the bilateral relations and build joint ventures,” - Bijan Zangeneh said after meeting with Foreign Minister of Oman.
According to him, in addition to the construction of the pipeline the sides plan to create joint ventures for the oil processing and storage.
Earlier, Director General of the National Iranian Gas Company (NIGC) Alireza Cameli said “Iran will supply to Oman 28 million cubic meters of gas per day and 25%-30% of this volume can be liquefied”.
The agreement to build the pipeline was signed by Tehran and Muscat in late August 2015. According to the draft, the gas shall be exported via a pipeline which is 400 km long, with the length of the offshore section to be around 200km to go from the village Kuh-e Mubarak on the Iranian coast to the Omani port of Sohar in the Persian Gulf. The onshore section of the pipeline which is also 200km long will pass through the Iranian territory – from the town of Rudan to Kuh-e Mubarak. As soon as construction is completed Iran will provide Oman with 28 million cubic meters of gas per day for 15 years. The total value of transaction is approximately $60 billion.
As previously stated Bijan Zangeneh, Muscat covers all the costs of the project, including the infrastructure. According to the Iranian minister of oil, gas exports to Oman will allow the country to sell the Iranian natural gas to the markets of the region and, thus, “join the club of traders in the natural gas sector.”