Iran, China to Finalize Gas Deal

TEHRAN (Fars News Agency)- The Islamic Republic will hold talks with China next month to finalize a 16-billion-dollar gas agreement despite America warning that the Chinese partner could become subject to sanctions, an official said Thursday.

Iran and China’s biggest offshore oil producer, CNOOC, announced having signed on 21 December a preliminary deal to develop Iran’s offshore North Pars gas field located in Persian Gulf waters.

Under the deal, the two parties will work on developing the North Pars gas field for the production of Liquefied Natural Gas.

The investment will come from the Chinese side: 5.0 billion dollars for exploration and production, and 11 billion dollars for downstream activities.