Iran, Japanese Toyo Ink Salman Field Memo

National Iranian Oil Company (NIOC) has signed a memorandum of understanding with a consortium comprising Japanese engineering firm Toyo and Iranian Petropars for the rehabilitation of facilities and upgrading of gas production at the Salman oilfield, state information agency Shana said July 17.

The output of Iranian Offshore Oil Company (IOOC) has fallen in recent years and many of the company's facilities need rehabilitation and renovation, a NIOC official said.

The Salman field is operated by IOOC. It is 144 km south of Lavan and has one of the largest offshore installations in the Persian Gulf. Iran shares the field with ABK of UAE. The gas is transported via the Sirri Assalouyeh gas pipeline through to the South Pars phases 6,7 and 8 facilities.

NIOC, Toyo and Petropars will finance studies over the project but if the MoU leads to a deal, Shana reported, it will be carried out under an engineering, procurement, construction and finance contract.

Shardul Sharma