BAKU, Azerbaijan, Dec. 27
By Elnur Baghishov – Trend:
The operations under the plan to increase crude oil extraction from the Iran-Iraq joint South Azadegan oil field (called Majnoon in Iraq) will be completed in two years (by March 20, 2023), Iranian Deputy Oil Minister and the CEO of the National Iranian Oil Company (NIOC), Mohsen Khojasteh Mehr said, Trend reports citing the company’s website.
He made the remark at an event dedicated to the signing of agreements and contracts in the oil sector on Dec. 27, 2021.
The CEO noted that with the completion of these operations, Iran will be able to extract 320,000 barrels of crude oil per day from the South Azadegan oil field.
Khojasteh Mehr added that the South Azadegan oil field is being developed by an Iranian company (Petropars Operation and Management Company (POMC)) under a $5.6 billion contract.
“By the end of the current Iranian year (March 20, 2022), 17 wells are planned to be launched in the South Azadegan oil field,” he said.
The deputy also pointed out that discussions are underway with several foreign companies on the development of the North Azadegan oil field.
"One of the contracts signed today is the establishment of Skid Mounted unit in the South Azadegan oil field," Khojasteh Mehr stressed.
According to him, the value of the 2 agreements and 2 contracts signed today is a total of $275 million and 160 billion rials (about $3.8 million).
Iran's Azadegan oil field is located 80 km southwest of the Ahvaz city in the Khuzestan Province (southwestern Iran). It is estimated that the field contains about 32 billion barrels of oil. In Iran, this field is usually divided into two parts - North Azadegan and South Azadegan.
Iran's North Azadegan oil field is being developed by the Iranian Petroleum Engineering and Development Company (PEDEC). As a result of development, the extraction from this field will increase by daily 75,000 barrels in the first stage, and by 150,000 barrels in the second stage.
Reportedly, daily 55,000 barrels of oil are extracted from this field at present.
At present, crude oil extraction from Iran's South Azadegan oil field is 85,000 barrels daily. The field contains 28.2 billion barrels of crude oil, of which 1.6 billion barrels can be extracted.
According to the first plan for the development of this field, daily 320,000 barrels of crude oil and 197 million cubic feet (about 7 million cubic meters) of natural gas will be extracted from the field.
According to the second plan, daily 280,000 barrels of crude oil will be extracted from the field. In total, 600,000 barrels of crude oil daily will be extracted from Azadegan oil field.
On December 27, 2021, Iranian Oil Ministry and Academic Center for Education, Culture and Research signed two contracts and two cooperation agreements in various fields in the oil-gas sector.
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