BAKU, Azerbaijan, March 8. The National Iranian Oil Company (NIOC) disclosed the contract values and locations for seven new hubs in the South Pars gas field, following agreements signed on March 8 with four local contracting companies, Trend reports via the country's Ministry of Oil.
The contracts are as follows:
A $2.4 billion deal was signed between NIOC and Petropars for the 1st and 7th centers.
Iran’s National Oil Company and the Oil Industry Engineering and Construction Company (OIEC) signed contracts worth $2.37 billion for the 2nd center and $2.49 billion for the 5th center.
Iran’s National Oil Company and Khatam al-Anbiya Construction Headquarters signed agreements totaling $2.54 billion for the 3rd center and $2.39 billion for the 6th center.
A $2.37 billion contract was signed between Iran’s National Oil Company and MAPNA for the fourth center.
The contracts will primarily cover specific phases for each center. The 1st center will focus on fields 11A, 11B, 12A, and 12B, while the 2nd center will cover phases 3, 15, 16, and 21. The 3rd center will include phases 1, 5, 17, and 18, and the 4th center will focus on phases 6, 19C, 19AB, and 20.
In addition, the 5th center will cover phases 10, 13AC, 13BD, and 14AC, the 6th center will focus on phases 11, 14BD, 22-24A, and 23-24B, and the 7th center will cover phases 4, 7, 8, and 9.
South Pars is a significant global resource, representing about 7 percent of the world's gas reserves, 50 percent of Iran’s total gas reserves, 75 percent of the country’s gas production, and 40 percent of its gasoline production.
Moreover, contracts worth $17 billion were signed between Iran's National Oil Company and local companies to increase pressure at the South Pars gas field.
The South Pars gas field (called North Dome in Qatar) is a joint gas field of Iran and Qatar. The proven reserves of the South Pars Gas Field are estimated at 51 trillion cubic meters of gas, of which 36 trillion are extractable. Iran's share in the field is 14 trillion cubic meters of gas and 18 billion barrels of gas condensate.
Iran’s development of South Pars consists of 24 phases, with production starting in 2002. Currently, Iran produces around 700 million cubic meters of gas per day from the field. To date, Iran has invested approximately $90 billion in its development.
About 33 percent of the recoverable gas reserves from South Pars belong to Iran. While Iran has developed its portion independently, the Qatari side has primarily relied on foreign companies for development.
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