NEW DELHI: Iranian President Hassan Rouhani’s visit appears to have smoothened the creases in bilateral energy ties that had developed over delayed Farzad-B gas field deal, with both sides going back to the negotiating table as well as New Delhi agreeing to buy more Iranian crude and Tehran reciprocating by offering “good incentives”.
India also used the new-found bonhomie created by Rouhani’s visit to seek stake for its state-run companies in Iran’s South Azadigan oil field to transform their crude buyer-seller relationship into that of strategic investors in each other’s oil economy.
After a meeting between oil minister Dharmendra Pradhan and his Iranian counterpart Bijan Namdar Zanganeh on Saturday, both sides were brimming with positive vibes. “I am very optimistic about the future of relationship between the two countries and our companies,” Zanganeh said.
He also expressed optimism on signing of an agreement awarding development rights for Farzad-B to ONGC Videsh Ltd, which had discovered the field a decade ago.