Iran and Turkey are expected to settle the dispute over gas pricing by next month, said an official of National Iranian Gas Company's (NIGC).
The company's Director of International Relations Mohsen Qamsari said the two sides are continuing the negotiations are trying to resolve the issues by next month, reported Press TV on Monday.
Qamsari further said Iran is ready to raise gas exports to Turkey which is currently receiving about 10 billion cubic meters of gas from the Islamic Republic per year under a 25-year deal signed in 1996.
Ankara has approached an international court of arbitration to settle the issue of pricing which it considers too expensive.
Turkey's state-owned Petroleum Pipeline Corporation (BOTAS) took the case to the court of international arbitration in 2012. The case is still pending, with Ankara making a second effort for a ruling.
Iran is Turkey's second supplier of gas after Russia, providing for one-fifth of the country's needs. Azerbaijan is another supplier.
Turkey says Iran's price is too high, charging $490 per 1,000 cubic meters versus $335 and $425 by Azerbaijan and Russia respectively.
During President Recep Tayyip Erdogan's visit to Tehran in April, Iran proposed to double natural gas exports in return for a price cut which Turkey turned down.
In June, an energy official said Iran would win the arbitration case after Ankara's first attempt was quashed by the International Chamber of Commerce in Switzerland in 2014.
"Given that the outcome of the first arbitration in the gas dispute was in Iran's favor, the circumstances for the announcement of the second result will, most likely, also be Iran's favor," said head of NIGC's International Liaison Office Azizollah Ramezani.