Oil Minister: Iran ready to swap deal with Russia on oil and gas

TEHRAN, October 22. /Corr. Alexander Levchenko/. Iran is ready to swap contracts with Russia on oil and gas. This was stated on Wednesday the Minister of oil of Iran Bijan Namdar Zangeneh in an interview with journalists after talks with Russian energy Minister Alexander Novak in Tehran.

“We are ready to conclude with Russia swap contracts: to receive crude oil, gas and petroleum products from Russia in Northern Iran and in return release an equivalent volume of oil, gas and petroleum products from Iran to Russian counterparts through the ports and terminals in the South of Iran”, – said Zangeneh.

He also noted that he had discussed with his Russian counterpart on world oil prices. According to Zangeneh, Novak believes that, despite the pressure that low prices have on the Russian economy, it should not reduce the level of production and export and that should do it those countries that increased production, which led to lower world prices. Therefore, these countries and their own responsibility.

Assessing the future of the oil market, Zangeneh said that currently “supply exceeds demand by 1.5 billion barrels of oil per day and the rate of economic growth was lower than expected due to unforeseen problems facing the Chinese economy”.