According to PIN, Oman needs Iranian gas supply to feed its LNG and other industries as Iran enjoys the world's second biggest natural gas sources and it is near to Oman being the most reliable source for Muscat.According to a Memorandum of Understanding signed in 2008, Oman and Iran planed to complete the development of the Kish gas field in the Persian Gulf by 2012 with Oman footing the bill of up to $12 billion.
These two countries are of great potentials to cooperate in field of energy. The Two countries came to good results on selling Iran's gas to Oman through the last negotiation in the hopes of producing 3bn cubic feet of natural gas per day.
Phase one of the project will produce 2bn cf/d. Some 65 percent of which will be used by Iran and the rest will go to Oman. Phase 2 will also produce 1bn cf/d to be used in Iran as well as export to Oman.
Moreover, the development plan of Hengam joint gas field is also on the agenda of the said meeting.
Close distance to South Pars, the world biggest natural gas field, possibility of transmission of natural gas through pipe-line, delivering gas on marine borders as well as competitive prices are advantages of gas deal with Iran.