Gazprom, Iran, Qatar in ‘Gas Troika’
Parisa Habezi, Reuters, via Moscow Times, 22 Oct 2008
World gas powers Russia, Iran and Qatar moved on Tuesday to strengthen cooperation, and Tehran said there was consensus to set up an OPEC-style group, which is likely to worry Western consumers. Gazprom said it had agreed with Iran and Qatar to form a “big gas troika” and that it should become a permanent body holding regular meetings. But unlike Iranian Oil Minister Nozari, Gazprom chief Miller did not refer to the establishment of a “gas OPEC” after talks with Nozari and Qatar’s Energy Minister al-Attiyah in Tehran. “There is a demand to form this gas OPEC, and there is a consensus to set up a gas OPEC,” Nozari told a joint news conference after talks with Miller and Attiyah. Europe and the US have warned against such a body, saying it could pose a danger to global energy security and create room for price manipulation. Russia, Iran and Qatar are ranked the first, second and third biggest holders of natural gas reserves and together boast more than half of the global total. “We have agreed to hold regular meetings of the ‘big gas troika’ three or four times per year to discuss key issues of gas market developments, we have a common vision of the goals of the forum, and the need to transform it into a permanent organization as quickly as possible to serve the goals of stable and reliable energy supplies in the world,” Miller said in a statement.
Major gas exporters have met informally for several years at the annual Gas Exporting Countries Forum, a grouping also including Venezuela, Nigeria, Algeria, Egypt, Indonesia and Libya. Iran wants to turn it into a more formal body akin to OPEC. Gazprom has previously played down the idea of a gas OPEC, saying it was not feasible. Some analysts say any gas OPEC could be expected to share insights on upstream contract terms with investors rather than act on restricting gas supply as the oil OPEC does. “Surely, this gathering of gas exporting countries is to give assurances over gas supply to the world,” Miller, whose country is the world’s largest gas exporter, told the news conference. Iran is still a relatively small exporter, with US sanctions slowing development of its gas sector. Major European companies have shelved or scrapped multibillion-dollar projects in the Islamic Republic. Russia has been a reluctant backer of UN sanctions imposed on Iran. Nozari hailed Tuesday’s talks as a “turning point” in expanding cooperation among Iran, Qatar and Russia and said they had agreed to set up a committee of senior officials. Miller said the new body would “review projects and implement joint projects. This will range from exploration, refining and selling gas.” He added that the committee of technical specialists would meet in Doha, Qatar, next week.
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