Total in talks to produce LNG in Iran
Tehran, Iran, March 20
By Mehdi Sepahvand -- Trend:
France's Total and Iranian oil industry representatives are in talks over the production of LNG in Iran.
Lately, the sides have been holding talks aimed at having Total invest in LNG projects in Iran, Fars news agency reported.
Iran is seeking to produce LNG with an eye to the European market. 31 percent of the world's gas is shipped as LNG.
Total's Middle East and North Africa Director Stephen Michael in September said that his company, as one of the top five oil companies in the world, is ready to undertake all sorts of projects from LNG to petrochemical and oil extraction at sea and land after sanctions on Iran are lifted.
Iran has started building three LNG production units in southern energy zone of Asaluyeh. While Pars LNG which is 50 through needs foreign investment to be accomplished.
Shell and Total had previously announced the costs of projects Persian LNG and Pars LNG so high that Iran would have had to sell them gas below $0.08 per cubic meter so that their production would be economical. As Iran disagreed to the price, the projects are halted now.
Persian LNG was intended to give an output of 15 million metric tons while Pars LNG's output was to be 10 million metric tons.