Iran to put $120bn towards LNG production

Iran anticipates no problems securing investments to the tune of $120bn to become the world's top exporter of liquefied natural gas within the next 12 years, managing director of Iran LNG, Ali Kheirandish claims.

Iran "has no financing difficulties" and "has already secured $5bn in financing for investment from its own resources, partners and banks," Kheirandish is cited as having said at a project finance conference in Abu Dhabi. "Many financiers have come to us with very attractive offers and we expect a lot more banks to make offers," he added. Stating that Iran LNG is hoping to produce 80m tons of the gas annually by 2020, Kheirandish is reported as saying, "We could increase the level after that period but it will depend on the market and other conditions." The majority of Iran's LNG production is expected to be sold to Asia and Europe under long-term supply contracts and it is likely that the remaining LNG will find its way onto the spot market.

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