Iran, Turkey to Reach Gas Price Agreement by Year End

Iran and Turkey are expected to reach an agreement on the price of natural gas that latter imports from its eastern neighbour by the year end, according to Trend News.

“The parties have not come to a consensus about the gas prices up until now,” Turkish Minister of Energy and Natural Resources Taner Yildiz said on Thursday.

He added that Iran has tabled new proposals for reduction in gas prices.

“According to these conditions, the gas prices can be reduced,” Yildiz was quoted by Trend as saying.

Although official price is not made public, according to various reports, Turkey buys Iranian gas at $490 per 1,000 cubic meters, Trend added. Anakara pays $335 per 1,000 cubic meters for Azerbaijani gas, which is supplied via the South Caucasus gas pipeline (Baku-Tbilisi-Erzurum). Russian gas costs Turkey $ 425 per 1,000 cubic meters.

Turkey has been demanding Iran to reduce the price of gas it exports.