TEHRAN, Aug. 01 (MNA) – Iran’s Ministry of Oil announced that Total-NIOC contract to develop offshore section of phase 11 of the giant South Pars gas field was approved at the meeting of the Oil Resources Supreme Supervisory Board.

Head of Iranian Parliament's Planning and Budget Commission Gholamreza Tajgardoon said the contract to develop Phase 11 of South Pars was approved on July 31, after several meetings to discuss the terms.

The SP11 consortium includes operator TOTAL 50.1%, CNPC 30%, and wholly owned subsidiary of NIOC, Petropars 19.9%.

Last year, TOTAL signed a Heads of Agreement (HoA) with the National Iranian Oil Company (NIOC) for the development of phase 11 of South Pars, the world's largest gas field.

The South Pars 11 project (SP11) will have a production capacity of 1.8 billion cubic feet per day, or 370 000 barrels of oil equivalent per day. The produced gas will be fed into Iran's gas network.

Oil Resources Supreme Supervisory Board was established in 2011 by the Parliament which oversees the exercise of sovereignty and public ownership on oil resources.

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