Turkmenistan signs last minute gas deal with Iran

TEHRAN: Turkmenistan’s President has signed a new gas deal with Iran under which Ashgabat will continue its gas exports to the Islamic Republic, an official at Iran’s Ministry of Petroleum (MoP) said Friday.

The Iranian official went on to add that the details of the new gas agreement will be worked out in the presence of experts.

Turkmenistan has managed to avert the loss of one of its only two buyers of natural gas with some desperate, last-gasp negotiations.

Turkmenistan threatened to cut gas exports to Iran over claims of a $2 billion debt, forcing Iranian delegation to return home. At the airport, Turkmenistan’s officials persuaded the Iranian delegation to come back to the negotiating table in hopes for reaching an agreement on gas delivery to Iran.

A source told Iran’s Mehr News that if the two sides did not reach an agreement today, Iran was likely to cancel the gas deal from Saturday and start supplying northern provinces with domestic production.

According to experts, if the deal were to fall through, Ashgabat would be dealt the most amount of loss as Iran is the only buyer of its gas, besides China.