India and Iran have agreed to conclude an agreement on Farzad-B gas deal within the next three months, an Indian Petroleum and Natural Gas Ministry statement said.

The two sides agreed to make their best endeavours to conclude the definitive agreement by February next year, the official announcement said after the talks in Tehran between the petroleum ministries of the countries, a UNI report said.

During the discussions, the two sides took stock of the progress since the April ministerial meetings and expressed satisfaction at the ongoing negotiations, it added.

ONGC Videsh was preparing a Master Development Plan for the gas field while also working on a gas pricing formula keeping in view of the global gas price scenario.

ONGC Videsh as the operator in the Farsi offshore exploration block in the Gulf drilled an exploration well in Farzad-B area to discover gas.