Iran signs 12 oil deals, 12 more to be signed

Business Materials 26 December 2016 13:59 (UTC +04:00)

Baku, Azerbaijan, Dec. 26

By Fatih Karimov – Trend:

Iran has signed 12 memorandums of understanding (MoUs) with foreign companies on oil, Gholamreza Manouchehri, deputy head of the National Iranian Oil Company (NIOC) for development and engineering affairs, said.

The documents have been signed with leading oil and gas companies, including Royal Dutch Shell, French Total, Japan's INPEX, Russia's Gazprom Neft PJSC for development of Iran’s oil and gas fields, Manouchehri said, Tasnim news agency reported Dec. 26.

He further said that 10-12 MoUs are also expected to be signed with foreign investors for cooperation in upstream oil sector.

Low investment risks as well as low cost of oil production in Iran are advantages of investment in Iran’s oil and gas sector for foreign investors, he added.

Iran can produce oil at $12 per barrel, but some oil officials in the country claim that in some fields it is as low as $1 per barrel.

Manouchehri further said that the 13th International Energy Exhibition – ENEX, which is scheduled to be held in Iran’s Kish Island on Jan. 9-12, 2017, is an opportunity to introduce the country’s investment potential in the fields of oil, gas and petrochemicals.

Various energy companies from the US, China, Italy, Germany, the UK, South Korea, France, Spain, the Netherlands, Denmark, Canada and Sweden are expected to attend the event.

The exhibition is sponsored by Iran’s Oil Ministry. Participants will have a chance to showcase their latest achievements in the energy sector.