Five South Pars phases set for startup
TEHRAN, January 17, 2017 – Five new phases of the super-giant South Pars gasfield will be brought on line by March 20, 2017, Iranian Minister of Petroleum Bijan Namdar Zangeneh said on Monday.
The phases include 17, 18, 19, 20 and 21, under development by Pars Oil and Gas Company.
Phases 17 and 18 together have a targeted production of 50 mcm (1.77 bcf) of gas per day and 80,000 boepd of condensate, while phase 19 is expected to produce 56.6 mcm (2 bcf) per day and phases 20 and 21 have a planned output of 50 mcm (1.77 bcf) per day.
Discovered in 1990 by the National Iranian Oil Company, South Pars is part of a joint gasfield located in the Gulf and shared with Qatar, where it is known as the North field. Covering an area of more than 9,700 square kilometres, the reservoir holds about 19% of global recoverable gas reserves, making it the largest in the world.
In related news, Iran expects its revenues from the sales of crude oil and condensates to total USD 41 billion for the fiscal year 2016-2017, which ends on March 20.
Minister Zangeneh made the announcement on Monday, adding that the country had received USD 24.7 billion in revenues from the first nine months of the fiscal year.
The current fiscal year began shortly after the January 2016 removal of sanctions that had long stymied the country’s oil and gas industry.
Zangeneh stated late last year that Iran’s annual oil revenues were expected to rise by USD 10 billion in 2017.
Finally, Iranian oil exports will benefit from access to heightened coverage by global shipping insurance companies starting in February, following a deal reached with US firms.
A deal was reached between the shipping companies and US reinsurers, who will not participate in the new coverage, Reuters reported on Tuesday. It will come into effect on January 20.
The change will assist Tehran in further boosting its exports, which have been on the rise since sanctions on the country were lifted in January 2016.
US reinsurers have been unable to provide coverage to shippers of Iranian crude due to lingering US sanctions that were untouched by the 2015 nuclear deal between Iran and Western powers.