Expanding Gas Capacity Will Help Attract Investment

EghtesadOnline: Introducing the country's natural gas capacities by holding technical panels and exhibitions can be an effective way for attracting domestic and foreign investment in the lucrative industry.

News ID: ۷۴۵۷۴۱

29 July 2018

Narsi Ghorban, managing director of Narkangan Gas to Liquid International Company, made the statement on the sidelines of a press conference for the First International Iran Gas Show (IRGS 2018) in Tehran, the website of IRGS reported.

IRGS 2018 will be held in Tehran on Sept. 1-4 at Shahr-e-Aftab International Exhibition Complex, with about 200 local and foreign firms in attendance.

According to the official, the country accounts for10% of the world’s gas reserves and it is the third biggest gas producer and consumer in the world, which makes it a potentially key player in the global gas development ventures, Financial Tribune reported.

"Arranging exhibitions help maximize the interaction between domestic private sector, the National Iranian Gas Company and foreign investors," he said, adding that as long as capacities are not introduced, efforts to attract investment will be in vain.

Ghorban noted that gas industry can be the driving force behind Iran's economic prosperity, if long-term plans are made to increase export share.

"Iran's production accounts for over 5% of the global figure while its share in the global gas commerce is a meager 1%," he said.

The energy expert, who also serves as chairman of Qeshm Energy International, believes that the private sector has played a constructive role in gas development ventures, namely manufacturing equipment, constructing refineries and laying transmission pipelines.

"Gas has an 80% share in the country's energy basket, as it is opting for eco-friendly natural gas," he said, adding that judicious consumption of the fuel will help generate more revenues via exports.

The expert believes Iran's neighbors such as Pakistan, India, Afghanistan, Azerbaijan, Georgia, Turkey and Iraq could be among top markets for the country’s strategic fuel.

"Iran could liquefy its gas and export liquefied natural gas to China, India, South Korea and Japan," he said.

According to Mohammad Ali Khatibi, Iran’s former representative to the Organization of Petroleum Exporting Countries, natural gas will account for a major part of energy basket in Iran as it is the most prevailing source of energy and has clear advantages in terms of lower pollution and production costs.

“Iran’s proven gas reserves are worth €7 trillion,” he said, adding that the industry can play a key role in revitalizing its weak domestic economy.