Armenian Deputy Minister of Energy and Natural Resources Ara Simonyan said that oil refinery (OR) construction is a trilateral program among the Armenian Ministry of Energy and Natural Resources, Gazprom and Iranian Ministry of Petroleum. The program discussion has started since 2007, Simonyan said during a discussion of the 2011 draft state budget in relevant parliamentary committees.

According to Simonyan, provision of acceptable schemes for raw materials supply and long-term supplies are basic unresolved problems in the OR construction program. “Thus, it was decided to implement the first stage of the program, which is related to import of finished oil products. The program is implemented in a bilateral format – Armenia-Iran. It is expected that a progress will be recorded in this direction during the Armenian Prime Minister’s visit to Iran,” the Deputy Minister said, adding that an agreement of shareholders has been signed, with the program to be launched this year.

“The program costs several billion USD. It was postponed as a result of the crisis. As for supply of oil products, it is a rather realistic program, which can be implemented shortly,” said Simonyan.

He added that the oil pipeline’s length from Tabriz to Aragats makes 110km and 265km on Iran’s and Armenia’s territories respectively.

Ara Simonyan noted that a terminal is constructed near Aragats, what will allow securing the country’s reserve of oil products consumption for 10-12 days. Based on the results of recent discussions, 8mm-diameter oil pipeline will be constructed, which is enough to secure Armenia’s internal consumption until 2037.