The SPV “should be implemented in the coming days”, Jean-Yves Le Drian told the French parliament’s foreign affairs committee, Reuters reported late on Wednesday.
“It will work as a sort of clearing house that will allow in euros for Iran to benefit from some of its oil resources and at the same time buy essential products from the main three main (European) partners,” he added.
The vehicle will be registered in France, run by a German and likely to include France, Germany and Britain as shareholders.
The European Union has vowed to counter US President Donald Trump’s renewed sanctions on Iran, including by means of a new law to shield European companies from punitive measures.
On May 8, the US president pulled his country out of the Joint Comprehensive Plan of Action (JCPOA), the nuclear deal that was achieved in Vienna in 2015 after years of negotiations among Iran and the Group 5+1 (Russia, China, the US, Britain, France and Germany).
Following the US exit, Iran and the remaining parties launched talks to save the accord.
Trump on August 6 signed an executive order re-imposing many sanctions on Iran, three months after pulling out of the Iran nuclear deal.
He said the US policy is to levy “maximum economic pressure” on the country.
The second batch of US sanctions against the Islamic Republic took effect on November 4.