Iran Invested More than $1.7 bn in South Pars in Last Nine Months

Iran has invested more than $1.7 billion for development of South Pars gas field’s phases in the last nine months, according to a senior energy official.

“Some 10 more billion dollars is needed for completion of the development projects,” Ali-Akbar Shabanpur, managing director of the Pars Oil and Gas Company (POGC) said on Tuesday, reported state owned news agency Shana. “Total eight-month production exceeded 83 billion cubic meters which is planned to increase to 130 billion cubic meters.”

Regarding development of phase 11, he said that domestic companies are required to carry out the project and POGC is assessing technical qualifications of the applicant firms, Shana reported.

“If their qualifications are confirmed by the National Iranian Oil Company, the call for tender will be announced,” Shabanpur said, “If not, it is likely that the development plan will be carried out within new IPC (Iran Petroleum Contracts) model.”

Earlier this month, Iranian President Hassan Rouhani officially inaugurated South Pars gas field’s phases 15 and 16.

Since the start of operations in December 2013, the two phases have produced 15.5 billion cubic meters of gas, 14 million barrels of gas condensates, 3,000 tons of sulfur, and more than 5,000 tons of ethane.

The daily production target for phases 15 and 16 has been set at 56.6 mcm of natural gas, 75,000 barrels of condensates, and 400 tons of sulfur, as well as 1.05 million tons of LPG and 1 million tons of ethane annually.