Iran’s upstream oil sector needs $130 billion of investment until 2021, Bijan Namdar Zanganeh, the Iranian oil minister, said.
Based on the sixth 5-year national development plan, to be implemented in 2016-2021, Iran’s oil industry will need $200 billion investment in total, Zanganeh said, SHANA news agency reported.
He further said that however, the sixth plan predicts $130 billion investment in the upstream sector, even more investment is needed to protect the country’s oil and gas reserves.
Zanganeh added that each one percent increase of the oil fields’ recovery rate will add about eight billion barrels of crude oil to the country’s output which is equal with $400 billion at current oil prices.
By holding 157.8 billion barrels of recoverable crude oil reserves, Iran possesses the world’s fourth largest crude oil reserves.
The Islamic Republic also holds 34 trillion cubic meters of proven gas reserves, sharing 18.2 percent of total global gas reserves, which puts the country in the top of the world’s gas holders list.
The country plans to boost oil production to 5.7 million barrels a day and gas output to 1.4 billion cubic meters a day by 2021.