Iran, Russia Ink Energy Roadmap

Iran and Russia have signed a roadmap for cooperation in energy sector. The roadmap was signed by Iran's Deputy Minister of Petroleum for International Affairs and Commerce Amir-Hossein Zamani-Nia and Russia's Deputy Minister of Energy Kirill Molodtsov.

The roadmap for energy cooperation between Tehran and Moscow was signed in a meeting between Iran and Russia joint energy taskforce, led by Zamani-Nia and Molodtsov.

The taskforce held a meeting simultaneously with the 21st St. Petersburg International Conference, and attended the SPIEF 2017 panels and spoke about opportunities and advantages of investment in Iran now that sanctions have been lifted on the country.

Iran has so far signed memorandums of understanding (MOUs) with four Russian companies: With Lukoil for Ab Teimour and Mansouri oil fields, with Zarubezhneft for Aban and Paydar Gharb fields, with Tatneft for Dehloran and Shadegan and with Gazprom for Cheshmeh Khosh and Changouleh. No other country has so many MOUs with Iran.

Zamani-Nia said in Moscow that six to seven Russian companies had expressed willingness for involvement in the development of nine oil and gas fields in Iran.

"The companies have already made preliminary assessments and some of them have drawn up master development plan (MDP). Iran will examine these proposals," he added.

Zamani-Nia said Iranian and Russian companies were poised to start cooperation, expressing hope that such cooperation would begin in the near future. 

He also referred to the impact of energy sector on the environment and balance between energy and environment as an important issue discussed in the SPIEF 2017.

"Most probably, the share of oil and gas in the world energy mix will be different from the current level of around 80% in the future, but it will remain an influential sector. Therefore, serious investment must be made to develop oil and gas sector," he said.

South Pars Zero Flaring Due in 2020

The director of supervision on production at National Iranian Gas Company (NIGC) has said that associated petroleum gas flares at South Pars gas field would have been extinguished by March 2020.

"One of our main jobs in gas refining sector in the [calendar] year 1395 (ended on 20 March 2017) was to reduce gas flaring at refineries and extinguish one of flares at the first refinery of South Pars," Gholam-Reza Bahman-Nia said.

He said that the flares had been designed primarily for the instantaneous relief of gasses accumulated at the refinery or letting gas off during operation and overhaul.

"The philosophy has changed to some extent and as new technologies are developed in the world we have sought to move towards reducing gas flares at their start point," he added.

Bahman-Nia said gas flare reduction did not mean that relief and delivery of excess gas under emergency conditions had declined, adding: "Since this issue (relief and delivery of excess gas under emergency conditions) will exist in any case, this job is done via extinguished flare which is started with a spark and turned off after the end of work."

He said that the technology applied to the first refinery of South Pars was meant to reduce excess gases and it worked properly. "It means that we managed to disengage one of two operating compressors before switching off one of the flares."

He said another technology would be used in phases 2, 3 and 12 of South Pars to return excess gas to gas feedstock processing.

Bahman-Nia said the gas used in South Pars under normal conditions would be reused to feed the refinery.

"We expect all flares to be extinguished by March 2020 at the refineries of South Pars after state-of-the-art technologies are coupled with the creativity, initiatives and obligations of Iranian engineers and technicians," he added.

Exploration Starts in Arya Field

The Exploration Directorate of National Iranian Oil Company has begun drilling operations for exploration in Arya field, an official said.

Ali-Mohammad Hemmatian, official in charge of technical affairs at the Directorate, said a two-year agreement had been signed with North Drilling Company (NDCO) to spud four offshore exploration wells.

"Signing agreement with NDCO is not limited to exploration in Arya but it will also include other exploration projects over these two years," he added.

Hemmatian said Sahar-1 offshore drilling rig had been provided by NDCO to the NIOC Exploration Directorate for exploration in the Persian Gulf.

He said that the area under exploration is limited to al-Khalij oil field (shared with Qatar) to the south, Balal and South Pars fields to the west and to Reshadat, Resalat and Salman fields to the northeast.

Hemmatian said that the timeframe forecast for these drilling operations would be four months, adding that the operation would start from Arya and continue to Sourmeh Formation.

He said that the NIOC Exploration Directorate carried out around 114,000 meters of exploration drilling from 2012 to 2016, more than 23,000 meters of which was done in 2016.

Hemmatian said onshore exploration had been assigned to the Exploration Directorate, adding that 6 to 8 onshore rigs would carry out the task.

Tehran to Host IGRC 2020

Iran is to host the 16th gathering of International Gas Union Research Conference (IGRC) in 2020. The decision was made during the last IGRC in Brazil's Rio de Janeiro.

Saeed Pakseresht, director of research and technology at National Iranian Gas Company (NIGC), who was addressing the IRGC gathering in Brazil, highlighted the Islamic Republic's potential in gas industry and the country's daily growing use of gas as a source of energy.

He said that natural gas had achieved the status it deserves in the world.

"The International Gas Union, as one of the most influential international organizations specializing in gas industry, is seeking to prove to everyone that gas and the sustainable production and development of this clean energy is the sole key to reach a life of better quality in the future," he added.

"Iran has the largest gas reserves in the world and is the third largest producer of natural gas. It is equipped with an extended supply network for this clean energy that includes extraction, production, refining, transmission and distribution," said Pakseresht.

He said that Iran had suggested techno market during IGRC 2020.

Austria Finance Minister, Zangeneh Meet in Tehran

The Austrian finance minister met Iran's minister of petroleum in Tehran to discuss cooperation avenues in oil and gas projects.

Heading a high-profile economic delegation, Hans Jorg Schelling met Bijan Zangeneh. The Austrian ambassador to Tehran was also present in the meeting.

Development of banking cooperation, cooperation between Austria's OMV and National Iranian Oil Company (NIOC) and more cooperation in oil projects were the main topics of discussion between the two sides.

Austria has already expressed its willingness for an Austrian bank to open a branch office in Tehran.

Austria's former president Heinz Fischer visited Iran in September 2016 at the invitation of President Hassan Rouhani. During his visit, Iran and Austria signed documents for cooperation.