Tehran and Muscat signed a preliminary agreement for a major offshore pipeline project to supply Iranian natural gas to Oman, with top European and Asian companies reportedly in line to implement the project, Financial Tribune reported.

The memo, which is an agreement in principle, was signed on the sidelines of a meeting between Iran’s Oil Minister, Bijan Namdar Zanganeh, and his Omani counterpart, Mohammed bin Hamad al-Rumhi, in Tehran.

Zanganeh said that activities regarding deep-water mapping of the pipeline project will come to an end within the next few months and a tender will be held afterwards for selection of a developer for construction of the gasoduct, informed Fars New Agency.

Representatives of French oil and gas giant Total S.A., Royal Dutch Shell, German energy company Uniper SE, Japan’s Mitsui, and Korea Gas Corporation discussed their plans and vision for the marine gas pipeline on the sidelines of the signing ceremony.

Based on an agreement signed in 2013, Iran will export 28mcm/d of gas to Oman for a period of 15 years through a pipeline that will go to the Sultanate through the Persian Gulf.

Almost a third of the gas exported by Iran to Oman will be turned into liquefied natural gas (LNG) in the Sultanate’s Qalhat plant, and the rest will be consumed domestically.