Reza Aghabati announced the signing of five new contracts worth $13.6 billion for the development of oil and gas fields. This action is part of the efforts of the fourteenth government to develop the country's oil and gas industry.
Details of the contracts and implementation stages
Aghabati stated that in addition to starting the implementation of these five contracts, approximately $2.3 billion in contracts in the upstream development sector have also been signed, which are in the approval and necessary licensing stage. He referred to the memorandums of understanding signed for the development of the fields and said: About 40 memorandums of understanding have been signed in the fourteenth government, covering 39 oil and gas fields.
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The engineering and development manager of the National Iranian Oil Company added: If these memorandums of understanding are converted into contracts, it will be possible to sign contracts with an investment value of over $37 billion. Aghabati also mentioned the gas fields of Lavan, Khartang, and Sefid Zakhour as part of the fields of interest for development and said: Negotiations are also underway for the development of the Yadakaran field with domestic and foreign investors.
Facilitating the investment process in the oil industry
Aghabati, referring to the measures taken to facilitate the investment process in the upstream oil industry, stated: The National Iranian Oil Company, in cooperation with the government and the Planning and Budget Organization, has received a resolution from the cabinet that, based on the regulations for the development and increase of production of gas fields and the allocation of produced gas to energy-intensive industrial units and petrochemical units, has created a suitable capacity for attracting investment in the development of gas fields.
He spoke about the time gap between signing the contract and its approval and the start of implementation operations and emphasized: After signing the contract, the approval process and entering the contract into the implementation phase takes time. Therefore, the National Iranian Oil Company has put forward a solution called signing preliminary and initial contracts.
Aghabati clarified: By utilizing the capacity of preliminary and initial contracts during the time gap between signing and approving the main contract, some initial actions and preparations for the development of the field can be started so that projects can enter the execution and development phase more quickly.
The engineering and development manager of the National Iranian Oil Company pointed to the country's significant capacities in the oil and gas sector and stated: Iran has the third-largest proven oil reserves and the second-largest proven gas reserves in the world, and in total oil and gas reserves, it holds the first position in the world. Converting potential reserves into actual and sustainable production capacity is one of the main responsibilities of the upstream development sector of the oil and gas industry, and in this regard, significant actions have been taken in the fourteenth government for the development of fields and increasing production capacity.
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