Iran’s stance on airport case could hurt Turkey-Iran ties

"Our economic relations could be influenced negatively by this situation," Turkish Foreign Ministry spokesman Namik Tan told in a weekly news briefing meeting. "Talks are continuing at different levels on this issue. We have expressed our wish for a swift resolution," he said, adding a prolonged deadlock could deter other Turkish companies from investing in Iran.

Iran’s armed forces closed the airport on Saturday, the first day of operations, citing security concerns due to the involvement of a foreign operator. TAV officials were ordered to withdraw their personnel and equipment from the airport on May 7, and operations were handed over to flagship carrier Iran Air.

The TAV officials have said they believe the memorandum of understanding they signed with the Iranian government last year to operate the airport’s Terminal 1 is still in effect. They said they have been asked to vacate the airport for two weeks while the dispute is clarified.

Under its agreement with the Iranian government, TAV was also awarded a USD$193 million deal to build and operate a second terminal at the airport.

Local Iranian media said the military later gave green light for the USD$475 million Imam Khomeini International Airport to re-open, but the terminal still remains closed.