By John Lee.
A top executive at Shell has said that the company is to repay a $2 billion (1.3 billion pounds) debt to the National Iranian Oil Company (NIOC) when sanctions on Iran are lifted, and will consider investing in the country’s vast energy sector.
The debt is a result of Iranian oil deliveries which the company had been unable to pay for due to sanctions.
Edward Daniels, Shell’s executive vice-president for commercial and new business development, told Reuters that new investment would depend on the terms offered by the Islamic Republic once sanctions were lifted.
Traveling as part of the UK delegation visiting Tehran to reopen the British embassy, Shell met Iranian Oil Minister Bijan Namdar Zangeneh and Central Bank Governor Valiollah Seif.
“Iran is and will be an important potential business area but of course it will have to rank with other projects that we have across the world — so yes it is a very large player in oil and gas reserves but projects need to make economic sense for our company,” Daniels said.