The International Court of Arbitration issues a ruling regarding the dispute between Iran and Turkmenistan. The verdict not to be disclosed (updated)

On the Iranian news agency MEHR, with reference to the General Directorate of Public Relations of Iran’s Oil Ministry reported that the International Court of Arbitration announced a verdict regarding the dispute between the National Iranian Gas Company (NIGC) and “Turkmengaz”.

The arbitrator announced his decision to both parties on June 24, 2020.According to the news outlet, pursuant to the rules of arbitration, this decision cannot be disseminated by any of the parties to the dispute, except with the agreement of the parties.

The news outlet points out that the current dispute between “Turkmengaz” and the National Iranian Gas Company is only one dispute over the exact amount of debt owed to “Turkmengaz” and the National Iranian Gas Company’s claims related to the quantity and quality of Turkmenistan’s exported gas to Iran. Therefore, this commercial lawsuit has no winner or loser.

The issued ruling has different dimensions, in some cases the views of “Turkmengaz” Company and in some cases the views of the National Iranian Gas Company have been sustained.

In conclusion NICG expressed hope that “this ruling will pave the way for further development of relations between the two friendly and neighboring countries”.

Let us recall that in late 2016 a public row broke out between Iran and Turkmenistan after “Turkmengaz” demanded that the NIGC settle the debt of $1,8 billion. The Iran media outlets reported that after lengthy negotiations the sides had come to mutual agreement. Despite this, on 1 January 2017 Turkmenistan cut off gas supply to Iran.

In Mid August 2018 “Turkmengaz” filed a lawsuit against the NIGC to the International Court of Arbitration. In October 2018 Iran submitted a counter claim.

Update.

Other Iran-based media outlets are publishing contradictory reports. The news outlet Financial Tribune reports that the International Court of Arbitration obliged Turkmenistan to pay the debts for the gas imported from 2007 to 2013.

At the same time, according to the news outlet IRNA, the Iranian Oil Ministry denies media reports which claim that Iran will pay fines to Turkmenistan over gas imports deal.

Turkmen media outlets and Turkmenistan’s Ministry of Foreign Affairs have not provided any comments so far.

 

Source: Chronicles of Turkmenistan

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