The Iranian government cabinet will presently receive the final draft of the new petroleum contract model, known as Iran Petroleum Contract (IPC), for final deliberations and endorsement.
Devised by the minister of petroleum, the model is aimed at sweetening oil contract for foreign firms willing to invest in Iran's petroleum projects following a historic deal Iran clinched with world powers last Tuesday.
An ad hoc committee has been modifying the terms of oil contracts to replace the oil buyback deals.
Under a buyback deal, the host government agrees to pay the contractor an agreed price for all volumes of hydrocarbons the contractor produces.
But under the IPC, National Iranian Oil Company (NIOC) will set up joint ventures for crude oil and gas production with international companies which will be paid with a share of the output.
Iran's nuclear deal with the P5+1-Britain, US, Russia, China, France and Germany- raised hopes for the lifting of western sanctions more than ever.
According to Mehdi Hosseini, the head of the committee for devising the IPC at the Iranian petroleum ministry, many European oil companies are queuing for Iran's oil contracts.