Iran to present new module of oil projects in coming week
Baku, Azerbaijan, Nov. 24
By Khalid Kazimov - Trend:
Iran is expected to present its new module of oil contracts within the coming week.
Iranian OIL Minister Bijan Zangeneh has said that a number of oil projects in the framework of the new module of contracts will be presented to domestic and foreign companies, oil news agency Shana reported Nov 24.
Zanganeh made the remarks ahead of his meeting with the visiting Minister of Economic Affairs of Netherlands Henk Kamp in Tehran. However he did not mentioned the exact date for presentation.
Speaking about Shell Company's activity in his country before imposing sanctions against the Islamic Republic, Zanganeh called on the oil giant to resume its activity in Iran after lifting sanctions.
Zanganeh said that Iran's petrochemical industry requires more than $ 50 billion dollars investment and the government has not allocate funds for this sector so far.
However the private sector is active in the petrochemical industry and we hope that the Dutch companies also would participate in projects regarding the petrochemical sector, he added.
The new model of oil contracts namely the Iran Petroleum Contract (IPC) offers exploration, development, and production at oil and gas fields in an integrated package. However, the ownership of the fields will not be transferred to the foreign side.
The IPC is aimed at transferring new technology to Iran. Iranian experts should be present at the project sites alongside the foreign companies' representatives to familiarize themselves with the modern technologies used in the field.
The IPC will be a modification of the traditional buy-back risk service contracts and has been specifically designed to increase the attractiveness of Iranian oil projects for foreign investors.