Iran’s NIGC again threatens to file a suit against Turkmenistan demanding reduced gas prices

Managing Director of the National Iranian Gas Company (NIGC) Hamidreza Araqi said that Iran is going to continue buying the Turkmen gas if Turkmenistan decreases the price.

If Turkmenistan does not accept Iran conditions, the Islamic Republic will file a lawsuit against Turkmenistan in the International Court of Arbitration for cutting the gas supply to Iran in the beginning of the year, the information agency IRNA quoting an official from Iran’s Oil and Gas Ministry reports.

Araqi did not mention the amount of the fine claimed by NIGC and said that the amount was stipulated in the lawsuit, which was also sent to Ashgabat.

At the same time, gas swap from Turkmenistan to Azerbaijan Republic using the Iran territory is continuing, Araqi added.

On 9 May the Iranian media outlets reported that Iran had prepared the required documents to file a lawsuit and threatened to refer the case to the international court if the sides fail to reach an understanding.

Let us recall that in late 2016 a public row broke out between Iran and Turkmenistan after “Turkmengas” demanded that NIGC should settle the debt amounting to some $1,8 to $2 billion.

As the Iranian media outlets reported the sides had reached a mutual agreement after strenuous lengthy negotiations.Despite this, on 1 January 2017 Turkmenistan halted gas exports to Iran.

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