(IRNA) - Iran and Malaysia signed a 16-billion-dollar memorandum of understanding on development of two gas fields of Golshan and Ferdows as well as establishment of LNG production units.
Speaking at the ceremony during which the MoU was signed, the Managing Director of National Iranian Oil Company (NIOC)
Gholam-Hossein Nozari said that the new method of signing buyback contracts and participation of both sides is welcomed by foreign companies, reports Trend.
"Development of the upstream section of the two gas fields will be implemented by Malaysia's SKS Ventures based on a buyback contract.
"Another long-term 25-year contract is expected to be inked on the downstream section of the fields," he added.
Nozari said that once developed, Golshan gas field will produce more than 70 million cubic meters of gas daily.
Meanwhile, he put the expected daily gas production from Ferdows gas field at 25 million cubic meters.