Away from all the media campaign and pressures surrounding the issue, the European countries remain to be interested in cooperating with Iran and make investments in the country, former deputy Petroleum Minister for engineering affairs Emad Hosseini told the Islamic Republic News Agency (IRNA) in an interview on Sunday.
The contract with total is the outcome of a general consensus in the country and it tends to be the first new oil contract in the post-sanction era, Hosseini said.
Total is one of international prestigious companies in oil and natural gas technology and engineering and its cooperation with Iran is expected to pave the way for transferring of new technologies to the country, former deputy and head of Tamin Petroleum and Petrochemical Investment Company (TAPPICO) said.
Total Company earlier had been engaged in developing phases two and three of the South Pars Gas Field.
Regional countries have promoted their oil and gas fields through cooperation with international firms, Hosseini added.
National Iranian Oil Company (NIOC), Total, CNPC and Petropars on Monday, July 3, signed a $4.8bn contract for development of South Pars Gas Field phase 11.
Total will operate the SP11 project with a 50.1% interest, while Iranian Petropars Company will have a share of 19.9% and the Chinese CNPC 30%.
The contract was signed by the NIOC Chief Ali Kardor, Petropars Head Hamid Akbari, Total’s Pouyanne and CNPC CEO in the presence of Iran’s Minister of Petroleum Bijan Zangeneh and the French and Chinese ambassadors to Tehran as well as parliamentary Energy Committee members and senior petroleum ministry officials.
Iran’s annual petrochemical production capacity stands at 62 million tons and by the end of this year (March 20, 2018), the figure will reach 72 million tons when six new projects come into stream. The total value of net sale of the products will rise up to $17 billion.
National Iranian Oil Company (NIOC) and an international consortium, led by French Total company, signed Iran’s new oil contract in the post-sanction era for development of the phase 11 of South Pars.
Under the $4.8 billion gas deal, 56 million cubic meters of gas will be added to Iran’s capacity to extract gas from South Pars gas field common with Qatar.