Iran signs MoU with Malaysian Petronas on oilfields study

Business Materials 21 December 2016 17:24 (UTC +04:00)

Baku, Azerbaijan, Dec. 21

By Fatih Karimov – Trend:

The National Iranian Oil Company (NIOC) signed a memorandum of understanding with Malaysia's Petroliam Nasional Berhad, known as Petronas, to study two oil fields in Iran.

Under the MoU, which was signed Dec. 21 in Tehran the Malaysian firm will undertake studies in Iran’s Azadegan and Cheshmeh Khosh oilfields, SHANA news agency reported.

Russia's Gazprom Neft PJSC and Austrian oil and gas company OMV have already signed preliminary agreements with NIOC to conduct surveys on implementing oil recovery methods at the Cheshmeh Khosh field.

Also leading foreign oil companies including Total, Royal Dutch Shell and Japan's INPEX have signed agreements to study Azadegan field's development potential.

Azadegan Oilfield in Iran’s southern province of Khuzestan is one of Iran's largest oilfields that it shares with Iraq. The field, which is divided into the north and south sections, holds an estimated 33 billion barrels of in-place oil.

Cheshmeh Khosh field, which is located in Iran's western province of Ilam, once fully developed, is expected to yield 18,000 barrels per day of oil and 115 million cubic feet of natural gas.

Iran has recently handed over the study of several oil and gas fields to foreign companies under non-disclosure agreements (NDA).