India, Iran seal oil payment mechanism
February 7th, 2012 - 4:09 pm ICT by IANSNew Delhi, Feb 7 (IANS) Ruling out gold as a mode of payment, Iran Tuesday said Indian companies will pay for 45 percent of their oil imports from Iran in the Indian currency as part of a mechanism agreed between the two countries.
“Both the sides are satisfied,” Syed Mehdi Nabizadeh, Iran’s ambassador to India, told reporters here.
“Gold is not suitable,” he replied when asked whether Iran will accept the yellow from India as part of payment for Iranian oil as was speculated earlier.
Iran could also increase its imports from India to settle part of the payments, he said.
With the US and the EU imposing fresh sanctions on Iran, India has been exploring various ways to pay for Iranian oil.
A multi-ministerial team from India visited Iran last month to work out the payment mechanism.
India has made it clear that regardless of the sanctions, it will continue to buy Iranian oil as it contributes around 12 per cent of its oil imports and is necessary for energy security of the country.
- India, Iran firm up oil payment mechanism (Lead) - Feb 07, 2012
- India open to all mechanisms to buy Iranian oil (Lead) - Jan 26, 2012
- Iran ready for bilateral deal on oil payments: Envoy - Feb 08, 2011
- Gold for Iran oil report speculative: India - Jan 26, 2012
- EU bans Iranian oil imports (Lead, Changing Dateline) - Jan 24, 2012
- Clinton visit: India to juggle ties with US, Iran - May 05, 2012
- Will keep buying Iranian oil, says India - Jan 17, 2012
- Despite sanctions, India to ramp up ties with Iran - Mar 01, 2012
- India, Iran seek to end oil payment row - Sep 22, 2011
- US sanctions on Iran: India keeping all options open - Jan 07, 2012
- Iran: EU seeks India's leverage, Manmohan backs diplomacy - Feb 10, 2012
- 'EU ban to cause hefty economic loss to Europeans' - Jan 31, 2012
- Iran oil payment row: India denies acting under US pressure - Dec 31, 2010
- Amid sanctions, Indian business delegation heads to Iran - Mar 09, 2012
- India wants to keep getting oil from Iran: Pakistani daily - Jan 30, 2012
Tags: ambassador, energy security, gold, India, indian currency, iranian oil, ministerial team, New Delhi, oil imports, payment mechanism, sanctions on iran, seal oil