ASHGABAT, July 12 (RIA Novosti) - Turkmenistan has reached an agreement to boost natural gas sales to Iran by 8 billion cubic meters per year to 14 billion cu m, the Turkmen Foreign Ministry said on Sunday.

The countries held bilateral gas talks on July 10-12 at the headquarters of Turkmenistan's state gas company, Turkmengaz. The Iranian delegation was led by Reza Kasaeizadeh, managing director of the National Iranian Gas Company.

The sides agreed that 8 billion cu m of gas will be supplied each year to Iran from the Korpedje deposit in western Turkmenistan, and 6 billion cu m will come from Dauletabad in the southeast, the country's largest gas field.

To supply the gas, a new pipeline will be built up to the Iranian border, and will begin operations the fourth quarter of this year.

"As a result of a full and constructive exchange of views, the sides agreed on a market price for natural gas to be supplied from Turkmenistan to Iran, calculated under an international formula," the ministry statement said, without specifying figures.

Turkmenistan, a former Soviet republic, is Central Asia's largest gas producer. The country produces around 80 billion cubic meters annually, of which around 50 billion cu m has been sold to Russia in recent years. However, supplies to Russia have been almost entirely cut off since an explosion in April on the Central Asia-Center pipeline.