Iran is planning to build a pipeline to import natural gas from Russia, with a total capacity of 110 bcm, according to the Iranian ambassador to Russia, as reported by Iranian news website Al-Alam. The ambassador said the project's first phase would have a capacity of 55 bcm and is expected to be completed within two to three years. He added that the strategic project's main principles had been approved at a trilateral meeting involving the presidents of Iran, Russia and Azerbaijan.
The final outstanding step before the contracts can be implemented is to agree on a gas pricing formula between the National Iranian Gas Company and its Russian counterpart.
In the shorter term, the ambassador said discussions were underway on a gas-swap arrangement, under the terms of which Russia would supply gas to northern Azerbaijan in exchange for equivalent volumes being delivered to Iran from southern Azerbaijan. He described this option as the fastest feasible solution.
Natural gas supplies in Iran have been disrupted since the start of the war, with Israeli strikes targeting facilities associated with the South Pars gas field, which accounts for a significant share of the country's gas production, forcing partial shutdowns. According to our data, Iran gas imports dropped 20-fold between 2015 (8 bcm) and 2019 (0.4 bcm) and have remained stable since then (Enerdata Global Energy Research).