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Russia eyes 55 bcm of gas exports to Iran annually, Putin says

Russia may supply as much as 55 billion cubic metres (bcm) of gas annually to Iran, Russian President Vladimir Putin said on Friday, as Moscow diversifies its gas flows after a significant fall in exports to Europe.

Since its full-scale intrusion of Ukraine in 2022, Russia has lost its dominance of the European gas market, when a crucial source of earnings for Kremlin-controlled Gazprom.

Putin, speaking at a joint press conference with his Iranian counterpart Masoud Pezeshkian, stated Russia's gas materials to Iran might ultimately reach 55 bcm per year, but it would need to start with small volumes of approximately 2 bcm.

A figure of 55 bcm would resemble the Nord Stream 1 undersea gas pipelines to Europe that were damaged by blasts in 2022.

If we discuss the volumes of possible products, we believe that we require to start with little volumes - as much as 2 bcm, however in basic this can reach supply volumes of 55 bcm of gas annually, Putin stated after signing a tactical treaty with Iran.

Gazprom signed a memorandum last June with the National Iranian Gas Company to supply Russian pipeline gas to Iran. Possible routes for the pipeline have actually not been revealed.

In spite of holding the world's second-largest gas reserves after Russia, Iran imports gas, including from Turkmenistan, due to serious under-investment caused in part by U.S. sanctions.

Iran's oil minister Javad Owji stated last July that Iran would receive 300 million cubic metres of Russian gas daily, which equates to around 110 bcm annually.

(source: Reuters)