Iran and Oman signed a renewed general framework agreement on Tuesday to build a natural gas pipeline between the two countries, according to Iran's official news agency IRNA.
The two countries first signed a Memorandum of Understanding in 2013, to export natural gas from Iran to Oman via pipeline, under the Persian Gulf seabed, in a 25-year deal valued at around $60 billion.
Iranian and Omani delegations held a meeting in Iran's capital Tehran, to renew the agreement but in consideration of the latest regional developments - namely objections from the United Arab Emirates (UAE) on the original pipeline route that would cross UAE waters - before preliminary work begins to build the pipeline.
During the meeting, representatives from international oil and gas companies like French Total, Royal Dutch Shell, South Korean Cogs, German Uniper and Japanese Mitsui presented and offered their proposals for possible participation in the project.
We will make a decision by the end of February on how to progress the project; Iran's Petroleum Minister Bijan Zangeneh was quoted as saying by IRNA.
The United Arabic Emirates (UAE) officially opposed the construction of a natural gas pipeline from Iran to Oman in its sovereign waters.
Iran and Oman reached an agreement to change the route of the pipeline to avoid UAE waters, according to local media reports.
The project will involve gas transfer through 200 kilometers of pipeline.
By Dilara Zengin
Anadolu Agency
dilara.zengin@aa.com.tr