LNG terminal

Iran signs first gas-to-LNG contract


TEHRAN, October 26, 2017 – The National Iranian Oil Company has signed a 20-year contract for the sale of gas destined to be shipped as LNG.


The company signed the deal with IFLNG, a joint venture between Norwegian firm Hemla and Iran’s Khark Gas Refining Company, according to a Wednesday report from the Ministry of Petroleum’s news portal, Shana.

Gas originating from the South Pars gasfield’s seventh refinery will be delivered via the Caribbean FLNG vessel, which is owned by Belgium’s Exmar. A total of 500,000 tpy of production from the vessel is expected.

Iran has several LNG projects in the works, but with numerous delays faced due to years of international sanctions, none are at advanced stages. In February, reports emerged that Total was eyeing an investment in the previously abandoned Iran LNG project, a private initiative.