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    Iran inaugurates phases 15 & 16 of giant gas field

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Summary

Iran inaugurates phases 15 & 16 of giant gas field

by: Iran desk

Posted in:

Greater Caspian News, Iran

Iran inaugurates phases 15 & 16 of giant gas field

Phases 15 and 16 of Iran’s South Pars gas field came on stream completely January 11, increasing daily output to 50mn m³/d. Iran’s president Hassan Rouhani officially inaugurated the two phases, which started early production in 2014. However, the phases had been operating at 17mn m³/d so far.

Both onshore and offshore sections of the development plan, processing and refining units have been completed by a consortium of Iranian companies, IRNA news agency reported on December 16. US and other sanctions imposed on Iran have made it difficult for foreign investors or contractors to operate there.

The development of phases 15 and 16 also aims to produce 80,000 barrels of gas condensates to be supplied to refineries and 400 metric tons (mt) of sulfur to be exported to international markets. A further 1.05mt of LPG (propane and butane) and 1mn mt of ethane are projected to be produced annually.

During the inauguration of  phases 15 and 16, the head of Khatam al-Anbia Construction Headquarters (affiliated to the Islamic Revolutionary Guard Corps and contractor of the project) General Abdollah Abdollahi said that since the phases started up, some 16.7bn m³ of gas and 15bn barrels of gas condensate have been produced.

The deputy energy minister Rokneddin Javadi also said that 6 new phases of South Pars would become operational by next summer. Iran produces about 400mn m³/d of gas from South Pars. Each standard phase of South Pars -- except phase 12, which has 82mn m³/d -- produces 25mn m³/d. 

Iran says costs for implementing oil projects will half once sanctions are lifted

Iran’s Oil Minister Bijan Namdar Zanganeh also said that the costs of implementing oil projects in Iran will be reduced to half after sanctions on the country are lifted

Speaking to reporters on the sidelines of inaugurating phases 15 and 16 of the South Pars gas field, Zanganeh said it is hoped that lifting of the sanctions would make access to equipment and technology easier and costs of implementing the projects lower.

The country’s gas refining capacity has been increased by 150 mn m3/d in the past two years, he said. This issue has caused liquid fuel consumption in power plants to reach 15-20 percent in the current year from 45 percent two years ago.

He expressed hope that all phases of the South Pars gas field, except for phase 14, would come on stream by the end of the incumbent government’s term (August 2017), producing 700 mn m3/d of gas and one million barrels of gas condensates per day.