South Pars field to triple Iran’s gas income

Iran Materials 16 June 2012 13:02 (UTC +04:00)

Azerbaijan, Baku, June 16/Trend M. Moezzi

When Iran finishes developing all phases of its joint South Pars gas and oil field, its natural gas production capacity in that field will hit 700 million cubic meters a day.

That production level would earn Iran more than $120 billion in revenues from the joint South Pars field, Mehr news agency quoted Mousa Souri South Pars Oil and Gas Company's managing director as saying.

In total, Iran is to develop 24 phases in the giant Persian Gulf field it shares with Qatar.

Four additional phases, 25 to 28, could be added for development if engineering studies find that's feasible, Souri said.

Last year, Iran produced 84.7 billion cubic meters of natural gas with the development of various South Pars phases. That means it netted about $42 billion from natural gas, gas condensates and other gas products, if a $50 per barrel price of oil is used.

The 9,700 square-kilometer South Pars holds one of the world's biggest gas reserves. Iran's share of the field is 3,700 square kilometers, which holds an estimated 14 trillion cubic meters of natural gas and 18 billion barrels of gas condensates, and accounts for 8 percent of the world's total gas stock and 50 percent of Iran's supplies.

Qatar began working on South Pars ten years before Iran. It has intensified developing the field while Iran has suffered setbacks from international sanctions and technical and financial obstacles.