NIOC inks first new-style oil contract

Iran

TEHRAN, October 4, 2016 – National Iranian Oil Company (NIOC) signed on Tuesday the first deal under the country’s new contract model, which was approved by the Iranian Cabinet in early August.

According to Shana, the Ministry of Petroleum’s news portal, NIOC signed a heads of agreement with local player Persian Oil & Gas Industry Development Company for the continued development of the North Yaran, South Yaran, Koupal and Maroon fields.

Commenting on the award, Minister of Petroleum Bijan Namdar Zangeneh said Persia Oil & Gas Industry Development Company would utilise enhanced oil recovery and improved oil recovery techniques in the fields. “Our main goal in all the three fields is enhancing oil recovery,” the minister was quoted as saying.

According to NOIC managing director Ali Kardor, the USD 2.2-billion project will see production from Yaran, Koupal and Maroon increase from 185,000 bopd to 260,000 bopd.