May 2009 Vol. 236 No. 5

Projects

Persian Alternative To Russian Gas Under Review

Negotiations have begun for a pipeline project to transport gas from Iran to Europe and would involve Iran, Syria, Iraq and European partners.

The project could offer an ideal alternative to European reliance on Russian gas as Iranian gas would be supplied to Europe via Iraq, Syria and the Mediterranean Sea, and further onto Greece and Italy. The proposed pipeline would use the existing infrastructure of Iran’s I-Gas 9 pipeline, which has a transmission capacity of 40 Bcm/a, to transport the gas as far as the Turkish border.

Meanwhile, Gazprom and the State Oil Company of Azerbaijan have signed a Memorandum of Understanding for long-term gas supplies from Central Asia to Russia. The deal was signed a week after Gazprom declined a proposition to join the Nabucco project, which also aims to reduce European reliance on Russia.