Page 46 - bne IntelliNews Country Report: Iran Dec17

the documents were signed following several months of talks on going ahead with geological exploration in the southern part of the Caspian Sea region. Since the implementation of the nuclear deal at the start of 2016, foreign investors have once again been allowed to strike oil and gas investment deals with Iran. But such deals have been slow in coming. There was a breakthrough, however, in July when French energy major Total agreed an initial billion-dollar investment in developing part of the South Pars gas field.
9.2.2 Automotive corporate news
Toyota Motors has apologised to the US securities market regulator after its Indian subsidiary went ahead and sold one Toyota vehicle to the Iranian embassy in New Delhi, the Indian Telegraph reported on October 24. The Japanese automaker has a local distributor in Iran, but the Japanese Embassy in Tehran and Toyota headquarters deny any connection to the sale, amounting to an embarrassing mishap noticed by American officials. As part of the continuing sanctions directed at Iran by Washington, all companies, whether American or not, must disclose dealings with the Islamic Republic if they have a business interest in the US. The Indian Toyota subsidiary, Toyota Kirloskar Motor Private Ltd (TKML), sold the vehicle at a cost of no more than €30,000 to an Iranian diplomat earlier last year. Since the filing giving the notification of the apology, there has been no comment from the subsidiary.
The world’s number one carmaker by sales, the Renault Nissan Mitubishi Alliance, will not leave Iran even if Washington re-imposes substantial sanctions against Tehran, the Associated Press reported on October 6. Renault has seen a resurgence in sales in the Islamic Republic since relaunching in 2016. There was an 82.6% jump in sales of its imported and assembled vehicles on the market across the first six months of the Persian calendar year (started March 21). "Obviously if it becomes impossible to deal with Iran we will put a plan together for the suspension of our business there, but that's not at all to say that we will leave Iran,” Renault CEO Carlos Ghosn Ghosn told reporters. Stating that Iran's market has growth potential, he referred to the ongoing tensions between Tehran and Washington over the future of the nuclear deal, adding: "If we can't work there immediately, then we will work there in one year, two years, three years because I don't think that this is a situation that can last for ever." In early August, Renault s igned a long-anticipated joint-venture deal with Iran's state-run Industrial Development and Renovation Organisation (IDRO) and Iranian private company Parto Negin Naseh Group (Negin Khodro) worth €660mn. More than 60 Iranian automotive component companies will work to supply the new Renault-led JV. A renovated plant is to produce the Dacia Duster (rebadged as a Renault), Renault Symbol and Renault Kwid, originally designated for the Indian right-hand drive market, creating around 3,000 jobs. It is expected that cars rolling off the production lines, located in Saveh, will annually add 150,000 vehicles to the Iranian market. Renault currently has the capacity to produce 200,000 a year in Iran.
9.2.3 Transport corporate news
Two ATR 72 twin-engine turboprop short haul airliners are due to be delivered to national flag carrier IranAir in Tehran on September 28, Iran Student News Agency reported. Iran has received a sweep of brand new aircraft in recent months, including a number of Airbus A320s. Top aviation officials are to attend the delivery ceremony for the airliners made by ATR - an
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