Tasnim – Iran’s oil minister said Total will equip Phase 11 of the country’s South Pars gas field with a pressure booster station to regularly pomp 2 billion cubic feet of gas per day for nearly 20 years as part of a deal between Tehran and the French energy giant.
Speaking to Tasnim on Monday, Bijan Namdar Zanganeh said, “Total will accept the responsibility to install a pressure booster station in Phase 11 to fix its output at 2 billion cubic feet per day for 15 to 20 years”.
Earlier, Iran and Total signed an agreement over the development of South Pars Phase 11. The deal involves a consortium led by Total, which also includes the China National Petroleum Corporation (CNPC) and Iran’s Petropars.
The first output of the phase is expected 40 months after the deal is struck, the Iranian oil minister further said, noting that Total will set up the pressure booster at the huge energy hub three to four years after the first production.
He went on to add that the move is aimed at dealing with the issue of energy drop at Phase 11, saying that other phases of the gas field will be also equipped with pressure booster stations in the future.
According to the deal, Total would operate the project with a 50.1 percent stake in it, while Petropars, a subsidiary of the NIOC, and Chinese state-owned oil and gas company CNPC would have a 19.9 percent and 30 percent stake, respectively.
The South Pars 11 project will have a production capacity of 1.8 billion cubic feet per day, or 370, 000 barrels of oil equivalent per day. The produced gas will be fed into Iran’s gas network.
South Pars covers an area of 9,700 square kilometers, 3,700 square kilometers of which are in Iran’s territorial waters in the Persian Gulf. The remaining 6,000 square kilometers are situated in Qatar’s territorial waters.
The gas field is estimated to contain a significant amount of natural gas, accounting for about eight percent of the world’s reserves, and approximately 18 billion barrels of condensate.