India in touch with Iran over Farzad B: MEA

Tehran announced that it will develop the gas field domestically

The Ministry of External Affairs on Thursday said there is a possibility of India becoming a part of the projects unfolding in the Farzad B gas field in Iran at a later stage. The statement from MEA’s official spokesperson Arindam Bagchi came days after Iran announced that it will develop the gas field domestically and signed a deal with Petropars.

“Iran wanted to involve us at a later stage. Our consortium is in touch with the Iranian authorities,” said Mr. Bagchi to a question during the weekly virtual news briefing. The comment shows that India continues to consider itself a player in the gas rich Farzad B region discovered by ONGC Videsh Ltd.

The National Iranian Oil Company signed a deal with the Petropars Group on last Monday where Minister of Petroleum Bijan Zanganeh announced that the gas field will be developed with domestic support. It came as a setback to the Indian efforts in Farzad B which has spanned more than a decade.

Threat of U.S. sanctions

Iran had warned earlier that the U.S. sanctions were responsible for its decision to go domestic on the gas field as international partners stayed away because of the threat of sanctions. India also froze energy ties with Iran because of the threat re-imposed by President Donald Trump in 2018.

The MEA’s latest statement indicates that India is planning to re-energise ties with Iran in the gas and oil sector in the second half of the year as the Biden administration has held indirect dialogue with Iran on reviving the nuclear deal of 2015.

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