The minister had suggested 11 million tonnes of crude oil import from Iran, with the payment entirely in rupees, this financial year.
According to official sources, Iran has asked India to first sign a production sharing contract for its Farsi gas block in three months, if Iran has to accept 100 per cent rupee payment.
“Now, since we are in the need for more Iran imports, Iran is bargaining.
“They want us to sign the contract for the Farzad-B gas field in the block soon,” said a senior petroleum ministry official.
ONGC Videsh Ltd, Indian Oil Corporation and Oil India Ltd had won the block in 2002 from National Iranian Oil Company.
While OVL and IOC have 40 per cent each, OIL holds 20 per cent stake in the block.
Both sides had agreed to finalise the issue during the visit of Iran Oil Minister Rostam Ghasemi in May.
However, with the European Union and the US sanctions on Iran, it is
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