Iran considers investments needed for small-scale LNG

There's been some interest in supporting a fledgling liquefied natural gas industry in Iran, the country's deputy petroleum minister said.

Deputy Petroleum Minister Hamid-Reza Araqi, who also serves as managing director of the National Iranian Gas Co., said there has been some investor interest in LNG in Iran.

"At present, more investors have expressed preparedness to build mini LNG plants and nearly $100 million of investment is estimated to be required for the construction of such small refineries," he said Tuesday.

Iran said it's ready to court foreign investors in the energy sphere as sanctions pressure eases. Iran has secured some relief from sanctions in response to ongoing negotiations over its controversial nuclear program.

LNG offers more diversity in terms of gas deliveries when compared with gas pipelines.

The minister said small-scale LNG could be used to provide fuel for domestic power plants and for remote areas where energy transit is difficult.