Speaking to ICANA, the official said that the Iranian Ministry of Petroleum had shown the highest level of historical flexibility to the Indian side with regard to development of Farzad B gas field, but the Indians had so far refrained from developing the field due to the US sanctions.

“We gave them great concessions,… but it seems that the Indians have not signed any contracts for developing the field because of the sanctions,” he said.

“Iran considers India as a strategic partner and an old and reliable friend, but they did not sign a contract for developing Farzad B gas field for any reason, so if they do not indicate their readiness to develop the field after a certain period of time we will have to prepared the licensing round for having the field developed by an Iranian contractor … and have the project bankrolled by dipping into the National Development Fund of Iran.”

Farzad A and B's development projects will cost $5.2 billion, of which about $2.2 billion concerns Farzad B’s first phase development, in order to produce one billion cubic feet a day of gas from the field.

Iran share the field with Saudi Arabia which has started production from the field.

“Iran's relations with China and India are strategic ones and we can not influence our relations with these countries only because of a project; we must definitely negotiate with the Indians about Farzad B and declare to them that we cannot wait anymore. We do not want to challenge the relations between Iran and these countries, even if the sanctions are lifted, we are ready to sign a deal with Indians for Farzad B development project and continue this plan,” the official said.

Asked about the current state of South Pars Phase 11 project, Mr. Zangeneh said currently, China enjoyed 80.1% of South Pars Phase 11 development contract’s stocks and is the leader of the contract and talks are continuing with CNPC International for carrying out the project.

Development of the project required an investment of $5.5 billion, and the first phase would need $2.4 billion of investment.

If the required funds could be allocated to the Iranian Ministry of Petroleum the first phase of the project with 70 percent partnership of Iranian companied could be completed, he further claimed.