Iran to invest $60 billion in South Pars upper sector

Oil&Gas Materials 23 July 2011 13:05 (UTC +04:00)

Azerbaijan, Baku, July 23 /Trend/

The National Iranian Oil and Gas Company (NIOGC) will invest $60 billion in the upper sector of the South Pars during the Fifth Development Plan (2010-2015), Fars News Agency quotes Pars Oil and Gas Company managing director Musa Souri as saying.

"According to the Fifth Development Plan, about $60 billion will be invested in the upper sector of the South Pars, which covers the implementation of all remained new phases, providing equipment and other projects in the South Pars," he said.

The National Iranian Oil Company will issue bonds and use domestic banks' sources to accelerate the South Pars development plan, he added.

Earlier Souri said Iran will issue more than $8 billion bonds in the current year (started on March 20, 2011) to provide financial resources for South Pars plans.

He expressed hope that the company will annually invest $12-$15 billion in the South Pars.

The South Pars oil and gas field is one of the largest in the world and is expected to produce up to $130 billion in revenues per year.

The South Pars oil and gas field holds half of Iran 's gas reserves and covers an area of 3,700 square kilometers. It is located 3,000 meters below the seabed.

According to OPEC's annual statistics published on July 19 Iran's gas reserves reached 33 trillion cubic meters in 2010.