Chief Executive of the National Iranian Gas Company (NIGC) Hamid-Reza Araghi said that Iran’s gas export volume to Armenia will increase from one million cubic meters per day to 1.6 million cubic meters in 2018, Mehr News Agency reports.

Iran and Armenia inked a barter gas and electricity contract in 2004, he said, adding that “under the deal, it was stipulated that one million cubic meters of gas will be exported to Armenia daily.”

Commenting on the increase of Iran’s gas exports volume to Armenia, he said, “earlier, a contract for exporting Iran’s gas to Armenia was signed with the aim of bartering gas and electricity, based on which Armenia pledged to deliver three KW/hour electricity to Iran in exchange for each cubic meter delivery of gas from Iran.”

Under the deal, it was agreed that Iran’s gas export volume to Armenia and dispatch of electricity from Armenia to the Islamic Republic should grow as of 2018, he maintained.

Given the above, Iran’s export of gas to Armenia will increase from one million cubic meter to 1.6 million cubic meter daily.

Elsewhere in his remarks, the deputy oil minister pointed to the electricity received from Armenia, and reiterated, “the electricity received from Armenia will be delivered to Iran Power Management, Transmission and Distribution Company (TAVANIR).”

In tandem with Iran’s increased volume of gas to Armenia, the latter is able to generate electricity and deliver to the National Iranian Gas Company within the framework of rules and regulations, he concluded.

Earlier, Behzad Babazadeh, Director of the National Iranian Company for International Affairs, revealed the presence of a high-ranking Armenian officials in Tehran in current week for negotiating new gas rates and increase of Iran’s gas export volume to Armenia.