Paknejad confirmed on Wednesday that the contract for this project has been finalized.
The minister said the project will strengthen Iran’s relationships with its neighbors, Turkmenistan and Turkey.
According to Turkish media, Turkmenistan will export two billion cubic meters of gas to Turkey through Iran each year. This amounts to about five million cubic meters of gas per day.
Both countries are also discussing plans to increase this amount in the coming months.
Turkmenistan said last month that it had reached a deal to ship natural gas to Turkey via Iran.
Turkey imports gas via pipelines from Russia, Azerbaijan and Iran.