Iran says fully settled debt to Turkey over gas exports

TEHRAN

Iran has fully settled its debt to Turkey over gas exports, a senior Iranian energy official said on Feb. 5, adding that Ankara should now buy Iranian gas without a discount.

The managing director of National Iranian Gas Co, Hamid Reza Araghi, was quoted as saying by Fars news agency that “Iran has exported 8 billion cubic metres of gas to Turkey for free.”

He added that Iran “will continue gas exports from now to Turkey on a normal basis and will receive the money”.

Turkey, which buys around 10 billion cubic metres of gas annually from Iran, opened a case against Tehran in 2012 over higher prices.

The International Court of Arbitration ruled in 2016 against Iran, and said Tehran should reimburse Turkey $1.9 billion, or about 13 percent of total sales.

Iranian Oil Minister Bijan Zanganeh said last year that Iran was paying the debt by not receiving payment for gas sales to Turkey.