NISOC Output up 1 mb/d
Iran raised its oil output from 2.83 mb/d to around 3.8 mb/d after its landmark nuclear deal with six world powers came into effect in January 2016. National Iranian South Oil Company (NISOC) accounts for 83% of Iran's oil production, the highest share among Iranian companies. NISOC has managed to increase its output by 1 mb/d over the past one year.
Abdorreza Dabiri, director of production at NISOC, says the company's reliance on the potential and experience of its staff is a key reason for the increased output.
He referred to the drilling of 150 development, workover and repair wells over the past year, saying: "With these measures, a 450,000 b/d reduction was prevented. Therefore, it can be argued that we have experienced a total 1.45 mb/d increase in output since" 2016.
NISOC has five subsidiaries: Karoun Oil and Gas Production Company, Maroun Oil and Gas Production Company, Gachsaran Oil and Gas Production Company, Masjed Soleyman Oil and Gas Production Company and Aghajari Oil and Gas Production Company. NIOSC, which supplies 80% of Iran's crude oil and 16% of the country's gas output, administers more than 45 hydrocarbon fields sprawling on more than 400,000 square kilometers stretching from Bushehr Province to Khuzestan Province.
Commenting on the NISOC performance in the first half of the current calendar year, Dabiri said: "Regarding oil production, our objectives have been achieved 100% and we are currently producing 2.925 mb/d of oil. In the gas production sector, we have brought gas production to 71 mcm/d."
$3bn Investment Targeted
NISOC has devised a two-year plan to develop 10 oil reservoirs. Abdollah Mousavi, director or corporate planning at NISOC, says these projects require $3 billion in investment.
He said that the capital would be provided mainly by the National Development Fund of Iran (NDFI).
This amount of investment, which is to serve 10 fields urn by NISOC, will help the prosperity of business market and creation of direct and indirect jobs in Khuzestan and other oil-rich provinces.
Highlighting the necessity of partnership between domestic and foreign investment companies, Mousavi said production enhancement, production preservation and removal of obstacles to production need financing.
Under Iran's 6th national five-year economic development plan, the country's oil production is expected to reach 5.2 mb/d. NISOC is instrumental in the materialization of such an objective.
Bijan Alipour, managing director of NISOC, said the company was targeting a minimum output of 3 mb/d.
He said that 80% of equipment needed by petroleum industry is manufactured in Iran with 41% being supplied from Khuzestan Province.
Aghajari Output at 600,000 b/d
An offshoot of NISOC, Aghajari Oil and Gas Production Company is a major supplier of gas. Oil and gas condensate production from this company reaches 600,000 b/d and its gas output stands at 800 mcf/d.
Ebrahim Piramoun, CEO of Aghajari company, said plans were under way for injecting 3.5 mcf/d (98 mcm/d) of gas to six oil fields run by the company. He added that the Aghajari oil field would account for 2 bcf/d of gas injected into oil fields.
Aghajari Oil and Gas Production Company injects gas to the following gas fields: Aghajari, Rag Sefid, Karanj, Parsi, Ramshir and Pazanan.
Asked about the amount of investment needed for the renovation of NISOC-run oil facilities, he said: "According to estimates, only the renovation of surface installations of Aghajari field will need more than $3 billion in investment."
Maroun Output Higher Than Planned
Maroun Oil and Gas Production Company has been producing more than 570,000 b/d of oil up to November this year.
Jahangir Pourhang, CEO of the company, said output targets had been reached. He said that gas and naphtha production by this company increased 107% and 110%, respectively. The waste produced by this company can be injected at the rate of 20,000 b/d. as a result; over 98% of desalting wastes are injected into disposal wells.
He also touched on the Maroun company's performance in domestic manufacturing of equipment for petroleum industry, saying 4,494 items had been built in partnership with domestic industrialists in the first half of the current calendar year, while 265 more items had been repaired. Moreover, he said 13 domestically manufactured pumps were purchased and old electropumps had been renovated. The result was a 20,000-barrel increase in desalting waste injection.
Masjed Soleyman Output at 142,000 b/d
Masjed Soleyman Oil and Gas Production Company is one of the oldest oil producing companies in Iran. Renovation of its operating units has been on the agenda of National Iranian Oil Company (NIOC). Many projects in this sector are being completed.
Nasser Qobadi, CEO of the company, said every year a new unit comes on-stream, adding that some units are still ageing.
He said that the company is producing 142,000 b/d of oil plus 270 mcf/d of gas.
Qobadi touched on the planned development of Masjed Soleyman field by China's CNPCI under a buyback agreement, adding that implementation of this project would lead to significant increase in the output from one of the oldest oil fields run by Masjed Soleyman Oil and Gas Production Company.
He said the primary output of the company was 25,000 b/d, which has gradually reached 6,000 b/d. Qobadi added that development of this field would bring production to 10,000 b/d after well reparation and installation of downhole pumps.
He welcomed potential foreign investment for increasing the production units, adding that domestic manufacturers should take into consideration standards and quality.