TEHRAN, Aug 13 (Shana) � Deputy Minister of Petroleum for Trade and International Affairs Amir-Hossein Zamaninia says negotiations have been held with foreign companies to sign mega oil and gas projects by March 20, 2017.

Talking to Shana, Zamaninia said the new model of oil contracts raises the chance for cooperation with the big and well-reputed international companies.
He said, "For the time being, the framework of such a model of contracts has been ratified in the cabinet. Once the contract is confirmed by the parliament and the draft is ready, the tender will be held for the purpose."

He said oil price slump has created difficult conditions for investment in the oil industry on the international level and a fierce competition has been launched for attraction of investment in the sector.

He added that however, Iran projects are lucrative for international companies.

He focused on reasons for refusal of foreign companies in the Iranian oil industry projects and said it was due to delay in ratification of the new model of oil contracts. "The Iranian oil projects will undoubtedly be offered by the next two months and no doubt, major projects will be signed in the oil industry by end of this year."

Stressing that early talks have been held with foreign companies and initial agreements have even been signed for the purpose, he said European and Asian companies are both highly willing to contribute to Iranian oil projects.

On oil cooperation between Iranian and Germany companies, he said since the first delegation after sanctions was from Germany, good cooperation has been formed with German companies, especially Siemens, and the roadmap of cooperation with the big German company has been drawn up.

He said the National Iranian Oil Company (NIOC) and National Iranian Gas Company (NIGC) signed a cooperation deal with the Germany Company in May.

The NIOC and the NIGC signed a tripartite deal with Siemens and Oil Turbo Compressor Company (OTC) early May, he noted.

The official said Iran has settled debt to Hermes and it will provide insurance coverage to Iranian projects and exported goods. Hence, big banks will be encouraged to bring their activities and extension of facilities to Iranian projects to normal, he added.

He said by end of 2016, the Hermes insurance can be used and it will be given to at least two or three projects.

He concluded that other German companies like Linde and BASF have also announced readiness for presence in Iran.

By SHANA