Russia's Gazprom looks to expand business with Iran

MOSCOW, July 13 (Reuters) - The head of Russian gas company Gazprom (GAZP.MM) was in Iran on Sunday looking for new business opportunities after French oil major Total froze investment in a major Iranian field citing political risk.

At a meeting with Iranian President Mahmoud Ahmadinejad, Gazprom's chief executive Alexei Miller also discussed strengthening the club of gas exporting nations, Gazprom said in a statement.

The statement said Miller and Ahmadinejad discussed the need for further development of the forum of gas exporting nations "as a permanently acting international organisation".

Some observers describe the gas exporters' forum as a "gas OPEC" that would function as a cartel. Russia has rejected calling it a cartel, denying that the group would control prices and supply.

Total (TOTF.PA) said last week it would not invest for now in a phase of Iran's South Pars field. Earlier this year Royal Dutch Shell (RDSa.L) pulled out of a phase of the same field.

Iranian missile tests last week heightened concern about the stability of the region.

State-controlled Gazprom, along with Total and Malaysia's Petronas, has been involved in plans to develop South Pars.

Gazprom said in a statement on Sunday that while in Iran Miller met with the Iranian oil minister and the National Iranian Oil Company (NIOC).

Gazprom's statement said Miller discussed setting up a joint venture for oil and gas exploration and production in Iran and building transport and refining infrastructure. And it said they discussed Russian gas supplies being sent to northern Iran.