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Tue 26 Apr 2016 01:52 PM

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UAE's Dana Gas says no deal with Iran on gas imports

Energy firm says it has not been able to reach an acceptable deal with Iran on natural gas imports into the UAE

UAE's Dana Gas says no deal with Iran on gas imports
Dana Gas

The United Arab Emirates' Dana Gas has not been able to reach an acceptable deal with Iran on natural gas imports into the UAE, and an arbitration process will continue, chief executive Patrick Allman-Ward said on Tuesday.

However, Dana and its affiliate Crescent Petroleum are still open to further discussions with Iran, which also wants to see the dispute resolved, Allman-Ward told reporters.

National Iranian Oil Co and Crescent signed a 25-year contract in 2001 for Iran to deliver gas to the UAE, with the price linked to oil. But deliveries were suspended as oil prices rose and some officials and politicians in Iran called for a revision to the gas pricing formula.

Allman-Ward said an arbitration tribunal in The Hague would hold another hearing on damages claimed by Dana in September.

Asked if Dana might simply pull out of the Iran deal, he replied: "I'm a businessman - if someone made an offer for my assets or for the contract we have in Iran, I'd consider."

Last year, Dana's production of gas and other hydrocarbons was the equivalent of 63,900 barrels of oil per day. On Tuesday, Allman-Ward said total production would be equivalent to over 64,000 bpd as the UAE's Zora gas field came onstream; he declined to give a more specific figure.

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