●Farzad-B gas field project of Iran
•Recently, the Ministry of External Affairs (MEA) has confirmed that India is no longer involved in the Farzad-B gas field project of Iran
•Farzad-B gas field is located in Persian Gulf (Iran).
•The contract expired in 2009 after declaration of commerciality of the field, based on the gas discovery.
•It has gas reserves of more than 19 trillion cubic feet.
•ONGC has invested approximately USD 100 million.
•The major dispute between India and Iran was over setting up of two pipelines, and also over money to be quoted on the development plan
【Further, it said that India has not received any response from Iran since December 2019 on the future of the Chabahar-Zahedan railway project as well.】
Chabahar-Zahedan Railway Project
•In the ‘New Delhi Declaration’ signed in 2003, both countries had decided to jointly develop the Chabahar Port complex.
•The Port development was exempted from the sanctions.
•India’s main investment in the Chabahar Port where it has taken over operations of one terminal, had progressed well in the last few years, handling 82 ships with 12 lakh tonnes of bulk cargo in 8200 containers since December 2018.
•A contract to develop the 628-km railway line (Chabahar-Zahedan) along the Iran-Afghanistan border was signed in 2016.
IRCON was appointed by the Government of India to assess the feasibility of the project. It was working with CDTIC, an Iranian company.
•It had completed the site inspection and review of the feasibility report. The Iranian side was to nominate an authorised entity to finalise outstanding technical and financial issues. India waited for the same.
•However, Iran started work on the railway project in July 2020.
•India is not part of this project as of now since there is lack of clarity on whether it will attract the USA sanctions. However, it has conveyed to Iran that it is open to joining the project later.