Iran's Gas Output to See Big Lift

Iran’s gas production will increase two-fold by the next three years, reaching 1.2 billion cubic meters annually, an Oil Ministry official announced on Saturday.

Javad Oji, the deputy oil minister, told IRNA news agency that once all phases of the South Pars gas field come on stream, the country’s natural gas output will increase by 700-720 million cubic meters in the next three years.

According to Oji, by operating all phases of South Pars and producing of 1.2 billion cubic meters of natural gas, Iran can earn an annual $100 billion revenue from gas selling.

He said all the remaining phases of South Pars Gas Field are now being developed by domestic companies.

Earlier this month, managing director of the Pars Oil and Gas Company (POGC), Mousa Souri, said all the phases of the South Pars will come on line by October 2015.

Oji went on to say that according to a plan drawn up by the company, every six months one phase of the South Pars would come on stream, Shana news agency reported.

He noted that to fulfill the target, around $15 billion should be invested in the South Pars phases each year.

"By launching South Pars phases 15 and 16 processing plants, Iran's gas production will rise by 30 million cubic meters per day this year (which ends on  March 19)," he stated.

He said phase 11 would be the last phase that is set to come on line in 2015.

By 2010, Iran produced on average 4.2 million barrels of oil, 600 million cubic meters of gas, and 400,000 barrels of gas condensates per day. Iran's oil and gas output have risen considerably in recent years, despite the Western sanctions.

Based on the 20-Year Outlook Plan, Iran must rank first in oil and gas technology in the region by 2025 and rank second in global gas production while maintaining its position as OPEC's 2nd biggest oil producer.