Index

Tuesday, December 4, 2007

[wvns] Turkey signs power deal with Iran

Turkey signs power deal with Iran
http://www.tehrantimes.com/Index_view.asp?code=157593


TEHRAN (PIN) — Turkey on Tuesday signed an agreement with neighboring
Iran for joint power production projects despite U.S. pressure against
investment in the Islamic Republic.

Turkish Energy Minister Hilmi Guler played down U.S. discontent with
flourishing energy cooperation between its NATO ally Turkey and Iran,
saying more agreements would be concluded in the coming days,
according to news agency reports.

"The signing (of agreements) will continue. Our efforts are
continuing," Guler told a joint news conference with his Iranian
counterpart Parviz Fattah after the two signed the power production deal.

Fattah also hailed the improvement of Turkish-Iranian economic
cooperation.

"Our improving ties may annoy some circles but they will harm no one,"
he said through an interpreter. "They have to accept that."

Tuesday's agreement foresees the joint construction of three thermal
power plants — two in Iran and one in Turkey — with a capacity of
2,000 megawatts each, as well as several hydroelectric plants in Iran
with a total capacity of 10,000 megawatts, the Anatolia news agency
reported.

Under the deal, transmission lines between Iran and Turkey will be
upgraded and expanded within a year.

"After we enhance the lines, both countries will take as much power as
they need," Guler said.

Public and private companies will be involved in the project, whose
cost will become clear early next year after technical work by the
private sector, he said.


Note, Iran and Turkey have a gas pipe linking the two countries.

===

Iran, Turkey bind commerce, energy ties
http://developing8.org/page/news/22/8/2007/iran_turkey_bind_commerce_energy_ties


The Turkish minister for foreign trade aired high expectations for the
future of bilateral trade with neighboring Iran on Sunday. A
delegation from the Energy Ministry traveled to Tehran for talks aimed
at finalizing a preliminary deal between the governments of the two
countries in late July.

Part of the deal will enable Turkey to use Iran as a transit route for
Turkmen gas. Last weeks the Iranian parliament approved a bill
allowing the government to sign the Economic Cooperation Organization
Trade Agreement, which will support and boost regional trade on common
principles as well as reinforcing economic cooperation among member
states by the elimination of non-tariff barriers, a reduction of
tariffs and exchange concessions.

Kürsad Tüzmen, the state minister for foreign trade, told the Anatolia
news agency that tariff cuts would be rapidly implemented between
Iran, Pakistan and Turkey. The agreement has already been approved by
the Turkish and Pakistani parliaments. "Approval of the agreement by
the Iranian parliament is a very important development. I'm expecting
an explosion in Turkey 's trade with Iran and Pakistan ," Tüzmen was
quoted as saying by Anatolia, as he stressed that the preferential
trade deals between Iran, Pakistan and Turkey would be activated in
the first months of 2008. "The improvement in economic and commercial
relations between Iran, Pakistan and Turkey, which have many
commonalities, cannot be left to chance," Tüzmen further said.

Meanwhile, officials from the Energy Ministry traveled to the Iranian
capital on Sunday following the signing of a Memorandum of
Understanding (MoU) on Iranian gas exports to Europe via Turkey and
Turkmen gas exports to Europe via Iran signed in late July in Ankara
by the visiting Iranian Petroleum Minister, Seyyed Kazem
Vaziri-Hamaneh and Turkish Energy Minister Hilmi Güler. If the talks
in Tehran are positive and the delegations proceed to the task of
concluding an agreement, Güler will travel to Tehran later this month,
sources at the Energy Ministry, speaking anonymously, said.

The Iranians holding talks with the visiting Turkish delegation are
led by Hojjatollah Ghanimifard, the international affairs director of
the state-owned National Oil Company (NIOC), reported CNN-Türk on
Sunday, noting that his involvement was a sign of the high importance
placed by Iran on an agreement with Turkey.

===

Iran and Turkey take a giant step in Key European gas DealTehran,
http://developing8.org/page/news/15/7/2007/iran_and_turkey_take_a_giant_step_in_key_european_gas_deal

===

An important move that will open a new export market for Iran's
massive oil reserves has been taken with the signing of Iran-Turkey
preliminary agreement to pump Iranian gas to Europe via Turkey.

Oil Minister Kazem Vaziri-Hamaneh said yesterday the memorandum of
understanding (MoU) included an agreement to pump gas from
Turkmenistan to Turkey via Iran and Tehran's approval for Ankara to
develop three phases of Iran's South Pars gas field.

Iran, with the world's biggest gas reserves after Russia, has been
considering Ukraine and Turkey as possible routes to get its gas to
Europe. In August 2006, it announced plans for a joint scheme with
Ankara to use its pipelines.

According to Vaziri-Hamaneh, this MoU will allow the transit of Iran's
gas to Europe via Turkey and will let Turkmenistan's gas be exported
to Europe through Iran's soil.

Turkmenistan already exports gas to Iran and sent 4.1 billion cubic
metres to the Islamic republic in the first half of 2007. Iran The
Central Asian country exports most of its gas via a Soviet-era
pipeline to Russian firm Gazprom.

The proposed $6.3bn Nabucco pipeline project that will cross Turkey is
backed by the EU partly as a means to diversify away from reliance on
Russia by gaining access to Central Asian gas.

The pipeline, running across Turkey to Hungary and Austria through the
eastern Balkans, will eventually be able to carry 31bn cubic metres a
year of gas from producers in Central Asia to big consuming countries
in Europe.

Vaziri-Hamaneh said experts from the two neighbours will work on the
project's details in one month to finalise the deal.

National Iranian Oil Company international affairs director Hojatollah
Ghanimifard said further talks would discuss issues such as the
structure and shareholding of any firms to implement the plans.

The minister said details on developing the phases 22, 23 and 24 of
Iran's south Pars gas field by Turkey would be finalised in four to
six months.

"Details will be studied next month when Turkey's energy minister
visits and in four to six month the necessary agreements will be
signed," Vaziri-Hamaneh said, adding that the phases would be
developed under so-called "buy back" terms.

In the meantime, the gas supply manager of National Iranian Gas Co.
(NIGC) said 22 billion dollars would be invested in the gas industry
by the end of the Fourth Five-Year Socioeconomic Development Plan
(2005-2010).

In addition to that, Iran's Petroleum Ministry on Saturday released
the list of 21 companies to cede to the private sector in line with
the Article 44 of the Constitution.

The list was approved by the ministry and the terms and conditions of
delivery are set by the Iranian Privatization Organization (IPO).

Out of the companies, five belong to National Iranian Oil Company
(NIOC), nine to National Petrochemical Company (NPC), five are
affiliates of National Iranian Gas Company (NIGC), and two of National
Iranian Oil Refining and Distribution Company (NIORDC).

The D-8 organisation through its Secretary General expressed content
about the privatisation and wish that cooperation in investment and
business could be more expanded. The organisation is also keen to
discuss the development of Iran economic cooperation in oil and gas
very shortly.

===

Turkey says will not end gas links with Iran
By Paul de Bendern
http://www.reuters.com/article/newsOne/idUSL2022038220070920


ANKARA (Reuters) - Turkey cannot end its natural gas cooperation with
Iran, Prime Minister Tayyip Erdogan said on Thursday after a senior
U.S. official urged Ankara to sacrifice its business ties with Tehran.

"Turkey is generating 52 percent of its electricity from natural gas
and it is out of the question for us to say we are cutting our
relations with these countries (chief suppliers Iran and Russia),"
Erdogan told a news conference.

"No country can make such a demand of us. And the United States did
not make such a demand," said Erdogan before flying to the United
States for the annual gathering of the U.N. General Assembly.

Washington is concerned by NATO ally Turkey's recent announcement that
it planned to sharply boost energy cooperation with neighbor Iran and
invest $3.5 billion in its South Pars gas field starting next year.

Iran — with the world's biggest gas reserves after Russia — is already
Turkey's second biggest supplier of natural gas after Moscow. It
provides gas through a pipeline between the two countries.

Turkey, experiencing fast economic growth, is almost entirely
dependent on imports for its energy. But it is trying to diversify
energy supplies and become a regional hub.

U.S. Undersecretary of State Nicholas Burns called on Turkey and other
countries during a visit to Ankara on Wednesday to "sacrifice" their
business ties with Iran to help prevent Tehran from possibly obtaining
nuclear weapons.

Iran has defied diplomatic pressure led by the U.S. and European
allies to halt uranium enrichment. Major powers are due to meet in
Washington on Friday to discuss a third U.N. Security Council
resolution to toughen sanctions on Tehran.

===

In 7 Months, Trade With Turkey Reaches $1.4b
ANKARA, Turkey
http://www.iran-daily.com/1383/2075/html/economy.htm

Trade between Iran and Turkey reached $1.448 billion in the first
seven months of this year, reported IRNA quoting the State Statistics
Institute of Turkey.
Iran and Turkey had exchanged $1.296 billion worth of goods in the
corresponding period the previous year.

The institute further reported that Turkey exported $55.6 million
worth of goods to and imported $178.4 million from Iran in July. The
same figures stood at $45.8 million and $192.2 million in July 2003.

Turkey's exports to Iran reached $383.9 million in the January-July
period, when it imported $1.06 billion from hydrocarbon resource-rich
Iran.

Iran's share of Turkey's total exports stood at 1.1 percent in the
first seven months of the year, when its share in Turkey's imports was
put at 1.8 percent.

The Turkish institute said imports from Iran increased by 3.9 percent
during the period, whereas its exports to Iran showed an increase of
41.3 percent.

Iran-Turkey trade increased by 90 percent in 2003 to reach $2.3
billion. Last year, Iran exported $1.8 billion to and imported $523
million worth of goods from Turkey. Bilateral trade is expected to
reach three billion dollars this year.

Despite the high-profile disagreements over the price of gas Iran
exports to Turkey via pipeline, the two countries are said to enjoy
amicable political and economic ties.

Mohammad Hossein Adeli, deputy foreign minister for economic affairs,
told Moj news agency recently that there are no special problems in
economic ties with Turkey.

The official further noted that the two countries need to talk more
about energy cooperation, adding that discussions are underway on oil
and gas cooperation.

Turkey's Ambassador to Tehran Aran Bozkurt said recently that
favorable efforts are underway to boost the value of two-way
transactions to $5 billion per annum in the next two years.

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