Total finalizes tenders for SP11 development: Official

SHANA– France’s energy giant Total has carried out tendering for subcontracts and other preparatory work at its South Pars Phase 11 project in Iran, the CEO of Pars Oil and Gas Company (POGC) said.

Speaking to Shana, Mohammad Meshkinfam announced that the value of the tenders held by the French major surmounts €700 million.

“Most of the contacts were awarded to Iranian companies and the name of the winners will be publicized soon,” the official said.

According to Meshkinfam, once the names of the winning companies are announced, signing of the deals with them will begin.

The tenders concerned such sections of the projects as drilling, jackets, topside, seabed pipeline, platform and installation.

The 11th phase of the South Pars contract was signed between National Iranian Oil Company (NIOC) and a consortium of Total and Petropars Company in Tehran on July 3 2017.

Based on the $4.879 billion deal, Total is operator of the SP11 project with a 50.1% interest, in partnership with Chinese state-owned oil and gas company CNPC (30%), and NIOC subsidiary Petropars (19.9%).

SP11 will be developed in two phases. The first phase, set to cost around $2 billion, will comprise 30 wells and two wellhead platforms connected to existing onshore treatment facilities by two subsea pipelines.

Depending on reservoir conditions as production progresses, offshore compression facilities could be added, a first on the South Pars field.

Since November 2016, Total has performed engineering studies on behalf of the consortium and initiated calls for tender in order to issue Phase 1 development contracts by year-end