India and Iran sign crude oil imports agreement

India and Iran sign crude oil imports agreement

India and Iran signed a cooperation agreement covering crude oil imports, petrochemical complexes and gas field development on Saturday.

Oil Minister Dharmendra Pradhan and Iran’s equivalent also talked over growing India’s ongoing import of  350,000 barrels of Iranian oil a day.

Minister Pradhan said: “Iran and India’s energy ties are no longer limited to crude oil imports.”

He also noted that India was ready to invest US$20 billion into the port of Chabahar in South-eastern Iran and stated the “energy sector can be determining in the development of Tehran-New Delhi relations.”

Prior to the weekend’s agreement India had also expanded a $100 million line of credit at Chabahar for berths and jetties.

The key topic of discussion on Saturday was the interest in the development of the Farzad-B offshore gas field.

The Iranian Minister Bijan Zanganeh, explained: “It was decided that Iranian and Indian sides agree on the schedule of implementing the project which is a demanding job and takes time.”

The Iranian government said the country is interested in developing closer ties with eastern countries and a relationship with India would be an added benefit.