Iran Attends WPC
A high-level Iranian delegation participated in the 21st World Petroleum Congress (WPC) which was held from June 15 to 19 in Moscow, Russia.
Held every three years, WPC is a key event in the global petroleum calendar, bringing together industry leadership and government representatives to discuss application and transfer of latest technology.
The World Petroleum Council was set up to catalyze and facilitate dialogue among stakeholders (both internal and external to the petroleum industry) on key technical, social, environmental and management issues in order to contribute towards seeking solutions to those issues.
Unfair Sanctions
The event opened with messages affirming the unfairness of energy sanctions, a senior Iranian oil official said.
“The unfairness of sanctions was affirmed in the messages read out to the first day of the World Petroleum Congress,” Mohammad-Ali Emadi, director of research and technology at National Iranian Oil Company (NIOC), said.
“Even the representatives of the United States to the WPC stressed the point that sanctions harm world energy security and pose challenge to the role of energy as a sector effective in establishing social justice and respecting human rights in the world,” Emadi said.
He said that participants in the event stressed the need for stability in the energy market and the end of crises.
$100b in Oil Projects
The National Iranian Oil Company has introduced 41 projects, valued at $100 billion, to foreign investors at the 21st World Petroleum Congress.
The projects entail the development of oil and gas fields, the establishment of natural gas liquid (NGL) plants, and the collection of associated gas at oilfields, Mehr news agency reported.
Associated gas is a form of natural gas which is found with deposits of petroleum. Due to the remote location of many oilfields, in the past, this gas was simply flared. The gas can be utilized in a number of ways after processing. It can be sold and included in the natural gas distribution networks, used for on-site electricity generation with engines or turbines, re-injected for enhanced oil recovery, or used as feedstock for the petrochemical industry.
Iran has tried to bring more foreign companies into its energy sector since securing limited sanctions relief from a November interim agreement over its nuclear activities.
On March 1, Iranian Petroleum Minister Bijan Namdar Zangeneh said that Iran’s oil industry would head forward, with or without sanctions.
The sanctions have not hindered the trend of progress of Iran’s oil industry, he stated, adding that the new model of contracts would help the country circumvent the sanctions.
The Iranian government said in April that it would revise how it regulates oil and natural gas contracts, though sanctions must be lifted for their full utilization.
Iran, under the terms of the previous buy-back contracts, paid contractors a set price for oil and natural gas produced. Under the planned new system, state-run energy companies will establish joint ventures with their international counterparts, which will be paid with a share of the output.
Iran- Russia Deal Revived
National Iranian Oil Company (NIOC) and Russia’s OAO Tatneft have revived a memorandum stalled due to Western sanctions against the Islamic Republic’s energy sector.
The development came as NIOC director of research and technology Ali Emadi held talks with the Russian company’s officials in Moscow.
Tatneft had agreed to develop heavy crude oil reservoirs in Iran, introduce new recovery enhancement methods and carry out seismic testing.
“Fruitful talks were held with this company’s officials and cooperation with this company will continue based on the previous memorandum,” Emadi said.
He said that all foreign companies are waiting for sanctions to be lifted under the aegis of Tehran’s nuclear talks with six world powers.
In 2011, Tatneft signed an accord valued at $1 billion with Iran to develop the Zagheh oil field in Iran.
A preliminary deal was signed in Tehran earlier between Tatneft, which is based in Russia’s Tatarstan region, and Iran’s Petroleum and Engineering Development Company.
The Zagheh field, located in southwestern Iran, will start production within 24 months with a volume of about 7,000 barrels a day of heavy crude and output will eventually rise to 55,000 barrels a day.