Russian Gazprom to participate in Iran-Armenia gas pipeline project

IRNA, Iran
Sept 27 2004

Moscow, Sept 27, IRNA — Inter-parliamentary commission of Russia-
Armenia in economic cooperation is to consider next month the
participation of Gazprom firm in construction of the gas pipeline
between Iran and Armenia.

An informed source in Armenian government told Interfax News Agency
on Monday that the Russian Gazprom company intends to offer its
cooperation for construction of 41 kilometers of the pipeline in the
Armenian territory.

According to the aforementioned source the expenditure of construction
is around 30 million dollars which will be financed by a loan from
Iranian Bank of `Export promotion `.

Interfax News Agency said Iran and Armenia signed an agreement
on May 2004 to establish a consortium to provide gas for Armenia.
According to the agreement Iran will provide 36 billion cubic meters
of gas for Armenia in 20 years period.

Meanwhile, it is possible that the agreement be renewed for another
5 years and the amount of gas be increased to 47 billion cubic meters.

The construction work in Iran side started in mid-July and in Armenia
side will start by the end of October.