Iran builds pipeline for gas export to Iraq
The project is estimated to earn Iran $3.7bn a year in revenues
Iran has started pumping natural gas into a pipeline meant for export to Iraq.
Based on the agreement, 25mn cubic metres (cu/m) of gas will be delivered to Sadr, Baghdad and Al-Mansouryah power plants through a 270km pipeline.
“The pipeline is complete on the Iranian side and will be soon inaugurated by senior Iranian officials to start pumping gas into Iraq,” managing director of the National Iranian Gas Transmission Company Mohammad Ali Emam has told Shana news agency.
Iran has laid 100km of pipelines for the project, through which 5mn cu/m of natural gas will be exported to Iraq daily in the first stage.
The two countries signed a deal on the exports of natural gas from the Iran’s South Pars gas field to Iraq back in 2013.
The project is estimated to earn Iran $3.7bn a year in revenues.
Given that Iran possesses surplus capacity for the production and supply of gas oil, the export of the strategic oil product to neighbouring countries and the Middle East region has been put on the agenda.