According to Mohsin, Tehran and Ankara could not agree on the price for the Iranian natural gas.

“The Turkish prices are twice as high as other offers. If the prices are at the same level, then we will give Turkey priority,” said Mohsin.

Turkey has asked for a discount on the price of Iranian gas in exchange for transporting Iranian gas to Western Europe.

In related news, the Middle East News Line, citing sources within Turkey, reported the Bush Administration had warned Turkey not to do a deal with Iran.

According to the insiders, “The Bush administration has warned Ankara that any energy deal with Tehran worth more than US$20 million [will] trigger U.S. sanctions against Ankara.”