Iran is ready to carry out swap deliveries of Azerbaijan’s oil to the Persian Gulf region, the Iranian Oil Minister Bijan Namdar Zanganeh said.
He made the remarks August 4 in Tehran addressing a meeting with Azerbaijan’s Economy and Industry Minister Shahin Mustafayev.
Zanganeh said oil can be transported from Iran’s Neka port on the Caspian Sea via pipeline (with a pumping capacity of 500,000 barrels per day) to the Tehran Oil Refinery.
“Instead, Azerbaijan will get oil on the southern borders of Iran,” Zanganeh added.
Zanganeh said all the negotiations can be carried out now, and after lifting the sanctions on Iran it will be possible to sign an agreement and start working.
He added that Iran can also cooperate with Azerbaijan on oil and gas sector in the Caspian Sea.
“We have put forward concrete proposals for cooperation on the Caspian Sea and we look forward to a response from the Azerbaijani side. If an agreement is reached, it will be possible to sign a corresponding document at a meeting of the heads of state,” he said, adding that it would be easy to do from a technical point of view.
“Our companies have extensive experience in the oil and gas sector. We would be glad if Azerbaijan’s government supports them and creates conditions for these companies’ work in the country. Your companies can also work in Iran,” said Zanganeh.
The minister also said Iran has extensive experience in the production of petroleum equipment.
“Iran is producing Siemens turbines. We are ready to cooperate with Azerbaijan in the joint manufacture of oil equipment,” he added.
The minister said Iran is ready to produce oil equipment in Azerbaijan.
In turn, Azerbaijan’s Economy and Industry Minister Shahin Mustafayev noted that Azerbaijan and Iran are ready for joint investments in the production of petroleum equipment.
“Having analyzed the needs of both the Azerbaijani and Iranian oil companies for 20 years ahead, we are ready for joint production of oil equipment,” he added.
The minister said Azerbaijan is seeking to transport oil in different directions, as well as to have mutually beneficial cooperation.
“We have a pipeline running to Russia, and we carry out deliveries to Georgia and Turkey via another one,” said Mustafayev.
“For us, it is strategically important not to depend on one direction and to establish mutually beneficial cooperation,” said the minister. “We are willing to cooperate [in this area] with Iran as well.”
