NIGC’s director for international affairs has said the export of Iranian gas to Europe is still economically justifiable despite the drop in oil prices.
Speaking at the global gas market outlook in the light of current challenges session, Azizollah Ramezani, the Director for International Affairs of the National Iranian Gas Company (NIGC), said “despite the possession of the world’s largest gas reserves, Iran enjoys a small share of gas exports; “the country needs to increase its share in the global gas market by taking advantage of the latest technologies.”
“Iran is currently producing 180 billion cubic meters of gas annually,” said Ramezani adding “meanwhile, the daily gas production of Russia reaches 800 million cubic meters and that of the US adds up to 700 million cubic meters even though American gas reserves are only 30 per cent of Iranian ones in capacity.”
The official reiterated that the country will be able to increase gas production merely relying on existing reserves given that the company access the required technologies and investments.
“In the current time, a rivalry has been formed between the US and Russia to gain a share of the gas market in Europe,” stressed the official underlining “gas exports to Europe in the form of LNG is cost-effective.”
The NIGC official announced that Iran would also be able to have a share in Europe’s gas market asserting “with the fall in oil prices, gas exports to Europe will be economically justifiable while India and China can mark great markets for the Iranian gas.”
“Russia exports gas to Europe by building a 3000-kilometer pipeline; Iran is also capable of doing the same,” emphasized the official.
NIGC’s director for international affairs noted that Iran’s high domestic consumption has led to the loss of its exports markets.
Maintaining that oil and gas respectively consist 40 and 60 per cent the country’s energy reserves, Ramezani called for more focus on the development of gas industry.