Iran suspends major gas deal with China

TEHRAN,Sept.3(MNA) - Iran has temporarily cancelled a major gas deal with China due to the lack of financing power by the Chinese side. In March 2009, Iran LNG Company signed a liquefied natural gas (LNG) deal worth 2.6 billion euros with a Chinese consortium. The deal was aimed to launch production lines in Iran LNG Company with an annual production of around 10.5 million tons. But the Chinese side has not met its obligations for financing the project. A source close to the issue told Mehr that the deal can be put into effect once again if the Chinese consortium manages to secure the finance. Iran will export the first LNG consignment in 2013, Deputy Oil Minister Mohsen Khojastemehr said in June. He told that LNG exports will amount to 10 million tons per year.