European - Iranian relations improve

European - Iranian relations have witnessed up a new positive step in boosting economic cooperation, as the new petroleum consortium between Canada's Bow Valley Energy Ltd, the National Iranian Oil Company and the French Elf Aquitaine company is distinguished by economic and political importance due to the boycott imposed by the United States on Iran.

The three companies endorsed a new petroleum agreement this year valued at $300 million to develop Iran's offshore Balal oil field, which confirms the progress Iran has achieved with the European countries.

This agreement gives to the French petroleum companies an important role in manufacturing Iranian petroleum, which had been owned by particular companies only.

Iran endorsed last month a contract worth $250 million with two Italian companies.

Thus European companies endorsed contracts with Iran which confirms that its relations with Europe were improved which forms a political success in its conflict with the US, which has legislation dictating sanctions on all companies dealing with Iran in petroleum and gas.