Major Russian/Iranian Oil and Gas Development Deal Announced

by Stephen Lendman

Russia has the largest amount natural gas, around 24% of proven world reserves.

Iran ranks second in proven gas reserves with an estimated 17% of the world's total.

Russia is a major oil producer, the world's largest exporter of the commodity.

Iran ranks 4th in proven oil reserves (after Venezuela, Saudi Arabia and Canada) with an estimated 9.5% of the world's total.

Hours before Vladimir Putin arrived in Tehran for talks with his Iranian and Turkish counterparts, the following was announced:

Head of the National Iranian Oil Company (NIOC) and Russia's Gazprom deputy chief, Vitaly Markelov, signed a $40 billion joint oil and gas development deal in Tehran.

Reported by the Iranian Oil Ministry's news service, Shana, development of several Islamic Republic oil and gas fields will include the following:

A project in Persian Gulf's Kish and North Pars gas fields.

A separate project to boost pressure at South Pars, the world's largest gas field along Iran's maritime border with Qatar.

Joint completion of several Iranian LNG projects.

Construction of gas pipelines for export of the commodity.

Joint oil and gas swap deals between Iran and Russia.

According to Iran's NIOC:

The joint deal with Russia's Gazprom is the Islamic Republic's largest ever foreign investment since oil and gas were first discovered in Iran's Khuzestan — in 1908.

Before announcing the deal — timed just ahead of Vladimir Putin's arrival in the Islamic Republic on Tuesday — NIOC and Gazprom representatives met in St. Petersburg and Tehran to prepare what was agreed on.

According to Iran's Oil Ministry:

"The Islamic Republic of Iran plans to invest $145 billion over the next 4-8 years in the development of oil production and refining."

Its leadership "welcome(s) foreign investors, especially from friendly countries such as Russia, to implement relevant projects."

"Apart from the development of oil and gas deposits in Iran, the petrochemical industry, being the leading industry, is also ready to attract investments and implement joint projects with Russian companies."

Iran's envoy to Russia, Kazem Jalali, said the following:

Throughout 2022, Iran and Russia "have been extensively exchanging political and economic delegations."

"Over this period, the two countries' presidents have had numerous contacts, both personal and over the phone." 

"It demonstrates the closeness of comprehensive relations between our countries."

"In the future, we will witness major events in bilateral ties."

"As for multilateral formats, Iran and Russia are seriously cooperating with each other too."

"Iran's membership in the Shanghai Cooperation Organization (SCO) and its talks with the Eurasian Economic Union (EAEU) toward the signing of permanent agreements on free trade, as well as the Iranian president's participation in the BRICS summit, show that the countries have close positions and a lot of areas for cooperation."

Separately, Russian Deputy Prime Minister/co-chairman of the country's intergovernmental commission, Alexander Novak, said following:

Moscow and Tehran are discussing oil and gas development projects with other nations.

Bilateral "negotiations have been held at the level of the heads of the two states, and if certain conditions are met, it will be possible to increase the import of grain, animal feed and oil from Russia to Iran."

Russia is Iran's main supplier of grain and animal feed —  totaling 8 million tons in 2021.

Unlike Western and other countries, Iran has no shortage of food for its people.

The Islamic Republic currently produces over 130 million tons of agricultural products, about 10 million of the total for export — including rice, other grains, herbs, fruits and vegetables.

Separately, Iran is completing construction of a rail transport project, what's been a missing section of its north/south railway corridor.

A Final Comment

Vladimir Putin's is visiting Iran for the 5th time as Russia's president.

Leaders of both countries are increasing their strategic cooperation.

Iran joined Russia, China, India,  Kazakhstan, Kyrgyzstan, Pakistan, Tajikistan and Uzbekistan as a Shanghai Cooperation Organisation (SCO) member state, Belarus to follow. 

Along with other nations, Iran seeks to become a BRICS member state.

According to Sergey Lavrov, things are underway to expand the organization.

Argentina, Saudi Arabia, Egypt and Turkey may join it ahead, Russia's Izvestia reported.

India's BRICS International Forum President, Purnima Anand, said the following:

These countries may join the organization "very soon."

Expansion of BRICS "will clearly increase (its) influence in the world."

China's Foreign Ministry official, Li Kexin, said Indonesia also wishes to become a BRICS member state.

Its members currently account for about 30% of global territory, over 40% of the world's population, one-fourth of its GDP, about one-third of its food production, and nearly 20% of world trade.

They continue to grow in importance on the world stage.

With the addition of new member states ahead, the organization's influence will be more greatly enhanced.

The empire of lies hasn't yet grasped reality.

Its unipolar moment ended, multi-world polarity replacing it.

Led by China, Russia, India, Brazil and South Africa, it's embraced by Iran, other nations free from US control, as well as others wishing to join BRICS and/or the SCO.

All empires eventually pass into history's dustbin.

The empire of lies and forever wars on invented enemies won't be an exception to the rule.

The depraved, decadent, illegitimate Biden regime hastened hegemon USA's decline and fall from grace.