Asaluyeh (POGC) -- The CEO of the National Iranian Oil Company (NIOC) said the country would need to invest $65 to $89 billion to develop its oil and gas fields otherwise it will become a gas importer in the coming years.
Addressing a Wednesday meeting held in the presence of a group of members of the Planning and Budget Committee of the Islamic Consultative Assembly and senior NIOC executives in Assaluyeh, southern Iran, Mohsen Khojastehmehr said that so far nearly $80 billion has been invested in the upstream sector of South Pars Gas Field.
With the completion of phase 11 as well as phases 13, 14 and 22-24, about $7.5 billion will be added to the investment in Assaluyeh region, thus completing the initial development of the South Pars gas field, he said.
The official called on the administration to use the best and latest technologies to ensure maximum efficient production in the upstream sector and maximize value added generation in the downstream sector.
Khojastehmehr, who is also Deputy Minister of Petroleum, further stated that special attention should be paid to the development of the South Pars region, as any problems in the development and production process in the field directly affects the country's revenue generation.
He added: Completion of phases 13, 14, 22-24 of South Pars also remains between 5 to 10 percent, which will be completed by the end of the current calendar year to March 20, 2022.
Khojastehmehr stated: “South Pars gas field is the source of 70% of the country's gas production and by drilling new wells, oil engineering measures such as acid work, etc., the natural decline in production can be prevented to some extent. But the most important thing we have to do is build gas booster stations, which is a fundamental step. If we do this, we will need $20 billion in offshore and $10 billion in onshore operations.”
To address the decline in production from South Pars, “we have a compensatory scenario that if we do not carry on with it, we will become an importer of gas by 2025, he said.
He said there are several other fields to be developed for production of gas including 10 gas fields in central Iran, Kish gas field development plan and a gas transmission pipeline, North Pars gas field development plan, South Pars phase 11 development plan, Farzad A and B gas field development plans, in which a total of 366 mcm/d of gas will be added to the country's gas output with a total capital of $54 billion.