The oil refinery construction project in Armenia is frozen.

"This issue has no political implication." the Deputy Minister of Energy and Natural Resources Areg Galstyan explained. According to him, this project is not closed, it is only frozen in order to conduct additional studies and to clarify all issues related to its profitability.

Earlier, the Ministry of Energy and Natural Resources reported that the Armenian-Iranian joint working group completed the technical work on the diameter of the future oil pipeline from the refinery in the Iranian city of Tabriz to the Armenian city Yeraskh., ArmRosgazprom representing Gazprom company, can take part in the project at a rate of 5-10%. Construction work is scheduled to begin in 2010. Capacity of oil pipeline from Tabriz (Iran) Yeraskh (south of Armenia) will be 1,5 million tons per year. Armenia’s domestic needs for fuel are 450-500 thousand tons per year. Part of gasoline and diesel fuel to be exported. The total cost of the project is $250-260 million.