Iran adds 3 new local companies to E&P list
Baku, Azerbaijan, Oct. 5
By Dalga Khatinoglu – Trend:
Iran added three new local companies capable to develop exploration and production (E&P) projects, Mohammad Reza Moghaddam, deputy oil minister for research and technology, said Oct. 5.
Currently, nine local companies are in the oil ministry’s E&P list, SHANA quoted Moghaddam as saying.
Iran is preparing to issue tenders on upstream projects based on the newly designed contract model, called Iran Petroleum Contract, or IPC.
Only E&P companies are allowed to participate in tenders. Based on IPC, a local company should choose a foreign partner to develop the projects and if a foreign company wins the tender, it must choose a local partner.
List of E&P companies in Iran:
- Oil Industries Engineering and Construction (OIEC)
- Dana Energy
- PetroIran Development
- Mapna Oil and Gas Co.
- Khatam ul-Anbiya Construction Camp (Subsidiary of the Islamic Revolution Guards Corps, aka IRGC)
- Iran Industrial Projects Management Co. (subsidiary of Iran Industries Development and Renovation Organization)
- Persia Oil and Gas Development Co. (subsidiary of the Execution of Imam Khomeini's Order, aka EIKO)
- Pasargad Energy Development Company
- Petro Gohar
- Ghadir Investment Company
During the sanctions period, which started in 2012, Iran’s oil production decreased from 3.7 million barrels per day (mb/d) to around 2.8 mb/d, but the figure reached 3.65 mb/d during the post-sanctions period which started in January 2016.
Iran needs about $100 billion of investment in upstream to develop 49 oil and gas projects based on IPC.
Iran plans to increase its oil output to 5.2-5.7 mb/d in coming years.