Iran to sign tens of billions of dollars oil contracts in 2 years:Zangeneh

Iran to sign tens of billions of dollars oil contracts in 2 years:Zangeneh
Oil Minister Bijan Namdar Zangeneh said here on Monday that several oil contracts worth tens of billions of dollars will be inked within the next two years.

Zangeneh made the remarks in a gathering on energy rights in Tehran. 

'Now, Iran is in a post-sanction situation and a large number of foreign companies are mulling to have an active role in the Islamic Republic,' he said, emphasizing the need for presence of more legal reputable companies in this arena. 

'The post-sanction era is a proper opportunity for cooperation of Iranian legal institutions with the international companies,' the minister added. 

In September 2015, National Iranian Oil Company (NIOC) official said Iran is going to apply for a new version of oil contract model in order to make it more attractive for foreign investors, with similar terms to a PSA (production sharing agreement).

'NIOC aims to embark on joint ventures with foreign investors and international companies in the oil and gas industry,' Shahrouz Abolhosseini, NIOC’s petroleum products pricing manager said.

Iran’s most common model before 2012 was the buyback deal- a risk service contract under which foreign companies would invest in the oil sector projects without owning resources.

The contractor funded all investments for the project and received remuneration in cash or its equivalent in kind before transferring operation of the developed field to Iran after a set number of years.


Oct 13, 2015 11:00
IRNA |

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The section of oil, gas and petro-chemistry is the up-most and first industrial vantage of the country and the pivot of the Economy of Iran. Regarding the importance of this section and the need for coordinating and organizing the most active people in the field of production and exporting oil ,gas, and petrochemical products ,some forethoughtful and job- makers in the private section of the country decided to come together to fight against the threats by using the opportunity of mass intelligence and potentials.