The European Union is working on a political agreement that would set the stage for future energy deals in Iran, sources with direct knowledge of the talks said.

The agreement could be signed as soon as November, Bloomberg quoted the sources as having said.

The accord would pave the way for any talks on specific contracts in the future and would come only after the nuclear deal reached in July between Iran and world powers enters into force, the sources said.

Europe is seeking new supplies of energy to reduce its dependence on imports from Russia, which provides 27 percent of the gas consumed in the region. In a policy paper last year, the European Commission, the executive arm of the 28-nation EU, said that countries including Iran could contribute to that goal.

The deal would cover five areas: oil and natural gas contracts, renewables and energy efficiency, power markets, energy infrastructure and investing directly in Iran’s energy industry, the sources said.
Source: MENA