TEHRAN, July 18 (Shana) – Managing director of National Iranian Oil Company (NIOC) says Iran's oil industry needs an investment of over a hundred billion dollars for development.

Speaking at a gathering of the Development and Engineering Department of NIOC with developers of West Karoon, South Pars and Naft Khazar oil and gas fields, Ali Kardor said on Monday that Iraq, as a neighbor of Iran, is planning to bring its crude output to 7 mbd and the same scenario is the case for other oil-producing countries.

He said corporate financing is not economical in development of oil and gas fields in Iran because of the time such finances would need.

He said international financial resources can be tapped for providing the sum needed for developing Iran's oil industry.

"As a person who has spent years working in the fields of investment and financing, and is familiar with international financing methods, I believe this method [corporate financing] undoubtedly cannot attract such amounts for Iran's oil industry and at best, only $20b could be attracted in that case," he added.

He said instead, project financing should be taken into account for attracting international finances an this is where buyback deals and the new oil contract model is being considered.

By SHANA