The National Iranian Gas Company’s (NIGC) Managing Director, Hamidreza Araghi, expounded on details of dissolving Natural Gas Storage Company (NGSC) and Iranian Gas Commercial Company (IGCC) saying “before finalizing the decision on their liquidation, talks have been held with Iranian Privatization Organization (IPO) for handing over the two subsidiaries of NIGC,” Mehr News Agency reported.

According to Araghi, the missions of the two firms had no economic justification “given that privatizing the two companies would prove unattractive, decisions were made to dissolve them,” Simeng informed.

The official emphasized that liquidation of NGSC and IGCC had been put on the agenda though no exact date has been envisaged for the process; however, the legal process for dissolution is underway.

Araghi stressed that Assembly Affairs Department of NIGC had been put in charge of dissolving the two firms though NIGC is not in favor of the initiative and hopes the process will be canceled.

Following liquidation of National Iranian Gas Export Company (NIGEC) in November 2016, NGSC and IGCC mark the second and third gas companies likely to become dissolved.

Duties and responsibilities of these terminated companies will be transferred to and handled by the National Iranian Oil Company.

On the other hand, in accordance with the new structural changes, issues related to natural gas exports through pipelines will be carried out by NIGC, while liquefied natural gas exports will be handled by NIOC.