Iran Offers Expanded Gas Exports to Armenia Amid Ongoing Cooperation Talks

A proposed framework to increase natural gas exports from Iran to Armenia has been presented by Iranian Minister of Petroleum Mohsen Paknejad during a meeting in Tehran. The agreement was reached with Armenian Minister of Territorial Administration and Infrastructure Davit Khudatyan, who visited Iran over the weekend.

The new framework aims to expand the volume of natural gas supplied to Armenia through the Iran-Armenia pipeline, which has been operational since 2007. However, Iranian gas currently accounts for only about 13% of Armenia's imports due to technical and contractual constraints.

Energy economist Astghine Pasoyan pointed out that the restricted diameter of the pipeline reflects political pressure during its construction to prevent Iranian gas from playing a larger role in Armenia's market. She also noted that Armenia's long-term gas supply contract with Russia links preferential pricing to minimum purchase volumes, which could trigger higher prices if Russian imports were reduced.

The two sides agreed to establish a joint specialized working group to study new areas of energy cooperation and develop joint initiatives. Paknejad emphasized the need for the group to begin work as soon as possible to achieve concrete results during future negotiations.