Zanganeh:

Iran to invite limited tender for Azadegan expansion

News ID: 3919589 -
TEHRAN, Feb. 28 (MNA) – Oil Minister Zanganeh has announced that only a limited number of companies will be invited to the tender for development of Azadegan oil field.

Speaking on the sidelines of a meeting with Indonesian Coordinating Minister for Economic Affairs Darmin Nasution, Iran’s Bijan Zanganeh pointed to good and friendly relations between the two nations and the deepening of bilateral ties following implementation of the Joint Comprehensive Plan of Action (JCPOA) saying “in addition to imports of oil products, Pertamina Corporation also holds partnership with NIOC in the field of expanding Iranian oil fields.”

The official, while referring to exports of a one-million-barrel cargo of crude oil to Indonesia, asserted “the first shipment was experimental as talks will be held over increasing the exports volume once relevant tests are carried out in Indonesian refineries.”

Iran’s petroleum minister said Indonesia, in addition to crude oil, has also purchased Iranian Liquefied Natural Gas (LNG) stating “Indonesia remains a large South East Asian market for crude oil and petroleum products and holds great significance for Iran.”

The official touched upon Indonesia’s proposal for carrying out increased recovery factor projects in oil-rich southern oil fields adding “Indonesians enjoys an abundance of experience in implementing similar projects inside the country.”

He said an MoU had been inked with Pertamina over boosting recovery factor in two oilfields; “in the meantime, relevant negotiations have been conducted with other companies like Russia’s Lukoil and Maersk of Denmark among the others.

In response to a question on possibility of a joint partnership between Pertamina and Lukoil for increasing recovery factors, Bijan Zanganeh explained “apart from welcoming competitiveness among giant firms, Iran’s Ministry of Oil will not interfere in the issue as international firms are expected to reached agreements.”

On Total’s new stance towards continuation of activities in Iran’s oil industry, oil minister said course of talks with no foreign firm has slowed down neither has it reached a halt.

“The concern held by Total of France is whether the European Union (EU) will back any likely contract with Iran for development of South Pars Phase 11.”

Zanganeh also refuted withdrawal of Germany’s BASF clarifying that Iran had never conducted talks with the German firm in the upstream sector of Iran’s oil and gas industry.

He said volume of Iran’s crude output in February stood at about 3.9 million barrels adding “OPEC member have shown a satisfactory level of commitment to the oil freeze deal while non-OPEC states are also expected to bolster cooperation with the 13-nation oil cartel.”

At the end of his remarks, Oil Minister Bijan Zanganeh said a limited tender will be sought for development of Azadegan oilfield as only a restricted number of oil firms will take part in it.

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