Russia with IRANRussia Creates Oil Pact With Iran
By The Associated Press
Last Updated: 10:45 AM EST Feb 19, 2008
MOSCOW (AP) _ Russian state gas monopoly OAO Gazprom signed an agreement Tuesday to drill and produce Iranian oil and gas in a deal that highlights Moscow's deepening commercial ties with Tehran.
The deal was signed after meetings between CEO Alexei Miller and Iranian Oil Minister Gholam Hossein Nozari, Gazprom said in a statement.
"The two sides agreed on the join participation in the development of two or three blocs in the South Pars field as well as on the participation by GazpromNeft in an oil production project in Iran," the company said.
No other details of the deal were released.
Ties between Russia and Iran have deepened in recent years, despite efforts by the West to isolate Tehran for its alleged sponsorship of terrorist organizations and its nuclear programs.
Russia is building Iran's first nuclear power plant.
Iran's giant South Pars is being developed in 24 phases and is expected to produce 751 million cubic meters of natural gas a day when completed by 2014.