Gas companies based in the United Arab Emirates (UAE) continue to show interest in doing business with Iran despite the threat of international and American sanctions.
With Iran sitting atop 15.5% of the world's proven reserves of natural gas (estimated at 993tn cubic feet) and chronic gas shortages in the UAE, which are causing electricity costs to spiral out of control, many UAE-based companies choose to work with Iran in their quest to secure cheap sources of energy. Recently, government-owned Ras Al Khaimah Gas Commission (RAKGas) announced it will continue to negotiate with Iran to secure gas from the West Bukha-Hengam offshore gasfield, which is also shared by Oman.
Ruurd Abma, chief operating officer for RAKGas told Reuters, "It would be the easiest thing to drill on the Iranian side and pipe the gas through to Ras al-Khaimah."
Dana Gas has also displayed interest in Iranian gas, though a recent deal between the Sharjah-based company and Iran failed over differences in gas prices.
Last Updated March 26, 2008
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