Turkey, Iran likely to sign new gas deal

Ali Reza Bigdeli, Iranian ambassador to Ankara, said that the new deal may be signed if both sides agree on the gas amount so that the prices would change.

Iran, faced severe sanctions over its nuclear ambition, is the second biggest gas supplier for Turkey with the 10bcm per year contract, still binding. Sanctions exclude the gas trading.

When asked if any compromise on the gas price is expected prior to Iranian President Hassan Rouhani's anticipated visit to Ankara, the Iranian ambassador gave a green light for compromise but did not elaborate on. 'It depends on the course of the negotiations but it is not right to speak of this now,' he said.

Bigdeli's remarks came after Turkey's move to appeal for the international arbitration over the price paid for gas imports.

Turkey has demanded Iranian officials to reduce the gas price while Iran said it could only drop the price if Turkey approved to increase the amount of the gas it would purchase.

The ambassador drew attention that the deal between Turkey and Iran has been already included the arbitration option. 'Court of arbitration is not the court you go after a quarrel. Contrary, arbitration court will be deciding over an article of the contract that has been mutually signed by two sides,' he said in a response to a question on the Turkey's decision.

'There is no possibility to review the same contract signed by the two countries but we can sing a new deal if we agree on the gas amount,' he added.