Iranian Oil Minister Bijan Zanganeh hosted delegates from Oman in August to discuss the terms of natural gas pipeline construction. Iranian Ambassador to Oman Ali Akbar Sibeveih told the Times of Oman the pipeline could be ready in a year and a half.
"The agreement on the gas pipeline dates back to 10 years ago when negotiations over the pipeline started, but the two countries could not finalize it," he was quoted as saying Wednesday. "The main reason was lack of agreement on the price of the gas that was supposed to be exported."
Shana, the Iranian Oil Ministry's news website, said Oman had asked for 2 billion cubic feet of natural gas from Iran. The envoy said the terms of the deal extend for 25 years.
Iranian President Hassan Rouhani said in a televised address Wednesday evening his administration would work to increase natural gas exports through developments at the South Pars, one of the largest gas fields in the world.
Oil Minister Bijan Zanganeh said plans were under way to determine the length and route for the pipeline.
Oman is considered a close U.S. ally.