Iran in talks with 16 IOCs to develop upstream projects
Baku, Azerbaijan, Oct. 19
By Emil İlgar Trend:
Iran is negotiating with 16 international oil companies to develop 50 oil and gas fields, based on newly designed contact model, called Iran Petroleum Contract (IPC), the Deputy Managing Director of the National Iranian Oil Company (NIOC) Gholamreza Manouchehri told reporters in Tehran Oct.19.
During a press conference, he said that the Azadegan oil field, joint with Iraq, may be the first project that may get a deal between Iran and foreign companies, based on IPC.
Without mentioning the foreign companies’ name, he said that some $10 billion worth of investment is needed for this field to increase the output by 600,000 barrels per day.
Iran would issue the first tender, based on newly designed oil and gas agreement in November, Ali Kardor, managing director of National Iranian Oil Company said Oct.17.
He said the first tender would be issued on Azadegan oil field.
“The field needs high technology to be developed. Without that, only 6 percent of reserves are recoverable. Currently Total, as well as another companies from Japan, Russia and Europe are willing to get involved,” he said.
The heavy oil container field has been divided to North and South Azadegan.
Currently 73,000 b/d of oil and 1.1 million cubic meters per day (mcm/d) of associated gas is produced from North Azadegan field. After commencing the second phase of this project, the output would reach 150,000 b/d.
Iran also produces 50,000 b/d of South Azadegan and another 30,000 b/d would be added to this volume in September.
The level would reach 110,000 b/d and then 320,000 b/d, after another 132 wells are drilled. The second phase of South Azadegan would add another 280,000 b/d to the output of South Azadegan.
Iran plans to develop 49 oil and gas projects based on IPC.
Iran plans to invest $134 billion in upstream sector by 2021.