Big money should be spent on Iran’s oil, gas sectors - minister

Oil&Gas Materials 2 November 2021 11:31 (UTC +04:00)

BAKU, Azerbaijan, Nov. 2

By Elnur Baghishov – Trend:

About $160 billion should be spent on projects in Iran's oil and gas sectors, Iranian Oil Minister Javad Owji said, Trend reports citing Shana News Agency.

He made the remark in a meeting with the Chairman of the Plan and Budget Organization of Iran, Masoud Mirkazemi in the framework of consultations on the budget for the coming Iranian year (March 21, 2022 through March 20, 2023).

The minister noted that the necessary funds have not been spent in the oil and gas sector in recent years. If the funds are not spent, Iran will become an importer of oil and gas products in the coming years.

Owji also added that it is expedient not to develop projects in the country that are not economically viable. Because these projects can have a negative impact on the country's economy.

During the meeting, the Chairman of the Plan and Budget Organization of Iran, Masoud Mirkazemi said that some Iranian ministries should make plans that are effective in economic development. After funds are allocated for the plans, they will be monitored to ensure that the facilities are put into operation and have a positive impact on economic development.

As reported, there are currently 74 oil and 22 gas fields in Iran. So, 37 oil fields are operating in the territory of the National Iranian South Oil Company (NISOC), 14 fields – Iranian Central Oil Fields Company (ICOFC), 5 fields – Arvandan Oil and Gas Company (AOGC), and 18 oil fields – Iranian Offshore Oil Company (IOOC).

In addition, 5 gas fields are operating in the territory of the NISOC, 13 fields – the ICOFC, 1 field – Pars Oil and Gas Company (POGC), and 3 gas fields – the IOOC.

Iran’s total hydrocarbon reserves are estimated at 836 billion barrels. With available technology and equipment, Iran can extract 239 billion barrels. Thus, 29 percent of the country's hydrocarbon reserves are recoverable, while 71 percent remain underground.


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