Iran Seeks Rapid Reboot for Natural Gas Exports {Europe within two years}

Wall Street Journal ^ | Jan. 26, 2016 | BENOIT FAUCON

[thackney]

Iran is pushing to find new ways to extract and export its vast natural-gas reserves, including developing facilities to liquefy the commodity and ship it to Europe in two years, now that Western sanctions have lifted, according to a top Iranian official.

Iran holds the world's largest reserves of natural gas, but has long lacked the export infrastructure of competitors such Russia and Qatar. They have networks of international pipelines as well as liquefied-natural-gas facilities that enable them to export gas by ship.

Tehran is exploring several options to help the country "join the international LNG club," said Alireza Kameli, managing director of National Iranian Gas Export Co., in an interview.

One project would involve restarting work on the country's most advanced LNG project, Iran LNG, which was 40% complete when tightened Western sanctions forced work to be abandoned in 2012. It could take another three to four years to complete the project, Mr. Kameli said.

Another option would be building a pipeline beneath the Persian Gulf to Oman, which has LNG facilities that Iran could potentially use. Mr. Kameli said Oman has agreed to build the pipeline within two years. Omani officials didn't respond to requests for comment.

Mr. Kameli said his company is also in talks with European companies, including Oslo- and Nasdaq-listed Golar LNG Ltd., to build floating LNG facilities--offshore vessels on which the gas would be liquefied. Such a project would take "less than two years," he said. Golar declined to comment.

Once LNG facilities are in place, Mr. Kameli said, exports to "Europe definitely could be considered."

Last week, Hellenic Petroleum, Greece's largest refinery, agreed to buy oil from National Iranian Oil Co., marking the first sale of Iranian crude to a European country...

[DIRTYSECRET]

Can’t we beat them to it? O will be gone in one year.