Iran’s South Pars Completion Needs $20bln: Minister
TEHRAN (Tasnim) – Iran’s Oil Minister Bijan Namdar Zanganeh said completion of the entire phases at the country’s South Pars gas field would cost around $20 billion.
Speaking to reporters on Monday, Zanganeh said out of a total of 28 phases in South Pars, 13 have remained unfinished, completion of which requires an additional investment of $20 billion.
The South Pars gas field completion will occur within the next three years, the minister added.
Out of the 28 phases, he noted, 11 have gone into operation, while 4 more phases are due to be finalized during the next Iranian year (begins on March 21).
He made the comments on the eve of a ceremony to officially bring the giant offshore field’s 12th phase into service.
The 12th phase, which has been designed and developed by the local experts, has cost more than $7.5 billion, Zanganeh explained.
The 12th phase can produce 80 million cubic meters of gas and 120,000 barrels of gas condensates on a daily basis, bringing the country $17.5 million in revenue every day, he added.
The minster hailed coming into service of the new phase as a helpful source of revenue while the oil price decline has diminished the country’s financial resources.
The South Pars gas field, whose development has been divided into 28 phases, is located in the Persian Gulf straddling the maritime border between Iran and Qatar. It is estimated that the Iranian section of the field contains 14 trillion cubic meters of gas and 18 billion barrels of condensates in place.
South Pars is part of a wider gas field that is shared with Qatar. The larger field covers an area of 9,700 square kilometers, 3,700 square kilometers of which are in Iran's territorial waters (South Pars) in the Persian Gulf. The remaining 6,000 square kilometers, referred to as the North Dome, are in Qatar's territorial waters.