Uchenna Izundu
International Editor
LONDON, Oct. 24 -- OAO Gazprom, Iran, and Qatar will form a technical committee, or "Gas Troika," to explore implementing joint projects. It will hold its first meeting the week of Oct. 27 in Doha.
The gas producers, which account for 60% of the world's gas reserves, stressed the importance of cooperation and regular gas market development discussions at a meeting in Tehran comprising their industry's senior executives and ministers.
As the Gas Troika, they will meet three to four times a year to pursue common strategic interests, which is likely to worry Western consumers.
Alexey Miller, chairman of Gazprom's management committee, said their discussions "may contribute greatly to developing the agenda for the Gas Exporting Countries Forum (GECF)." This gathers once a year to foster dialogue between producers and consumers as well as to improve coordination and collaboration between member countries.
Miller suggested that GECF could be rapidly transformed "into a permanent organization promoting steady and reliable fuel supplies around the globe." He said the aim was to ensure that all consumers received reliable supplies. In the past, the GECF has insisted that it does not aspire to become a natural gas equivalent of OPEC.
Miller's position differs from statements made by Gholamhossein Nozari, Iran's petroleum minister, who told reporters after their meeting: "There is a demand to form this gas OPEC, and there is a consensus to set up a gas OPEC."
Consultancy Global Insight said it would be difficult to implement a gas OPEC because the gas market remains highly segmented, and the countries have divergent long-term interests. Qatar is the key LNG exporter but has just 2 bcfd of pipelined supplies. Russia is dependent on pipelines, and Iran has failed to make headway on either course.
"This means the grouping is more likely to have greater success in technical cooperation—notably pricing structures and data standardization—than on some of the more immediate fears raised by commentators, of which supply coordination looms the largest," it added.
The Gas Troika also wants to establish an international club of experts and journalists specializing in the energy sector—dubbed the Energy Pole—which will receive first-hand information about urgent matters.
Contact Uchenna Izundu at [email protected].
