IOCs submit proposals for key Iran oilfield

Iran

TEHRAN, June 12, 2017 – International oil majors Total, Inpex and Petronas have submitted technical studies on Iran’s largest oilfield.

Nourod’din Shahnazizadeh, managing director of Iran’s Petroleum Engineering & Development Company (PEDEC), said on Saturday that the three companies had turned in studies on the Azadegan field and were expected to submit related results.

With the move, the three companies have become the frontrunners among IOCs bidding to enter Iran’s oil- and gasfields.

Inpex was partnered with Iran on the development of the Azadegan field in the early 2000s, but following the imposition of sanctions, the field was split into North and South sections to make projects economically viable. China’s CNPC worked on both.

Earlier this year, the split projects were recombined as prospects for foreign investment rose.

Shahnazizadeh said Shell, Eni and CNPC had also expressed interest in developing the oilfield.

In May, PEDEC received proposals for a USD 500-million project to construct a central production unit and associated surface facilities including pipelines for the Azadegan field from several Iranian-international partnerships. A decision has yet to be announced on the winning partnership.

Total is also expected to sign a contract to develop phase 11 of the super-giant South Pars gasfield this summer.