South Pars Gas Field to Generate $110b Annually

South Pars Gas Field to Generate $110b Annually South Pars Gas Field to Generate $110b Annually

When all phases of the giant South Pars gas field go into full operation, it will generate $110 billion in annual revenues, assuming oil prices at $50 per barrel, said the managing director of Pars Special Economic Energy Zone Organization, Fars news agency reported.

About 8 percent of the world's proven gas reserves are located in South Pars gas field. On that account 29 gas phases and 30 petrochemical complexes were designated in the area when PSEEZ was first established. "Fortunately, they have mostly gone into operation," Mehdi Yousefi noted.

The PSEEZ was established in 1998 to utilize South ýPars oil and gas resources and encourage commercial activities in the field of oil, gas and ýpetrochemical industries.ý

Accelerating domestic gas supplies, export of gas and gas condensate, providing feedstock for industries dependent on oil, gas, and petrochemicals, and facilitating implementation of South Pars gas field's development projects are among the main objectives of PSEEZ.

The number of workforce operating in the PSEEZ is between 60,000 and 105,000, depending on the progress of projects, Yousefi said. "The workforce together with the high density of petrochemical and refining infrastructure, have transformed the zone into a distinctive industrial area, which could contribute significantly to sustainable development," the official said.

Iran holds the world’s second biggest natural gas reserves after Russia, and the fourth-largest proved crude oil reserves.  It holds 17 percent of the world's proved natural gas reserves and more than one-third of OPEC's reserves.

Iran's largest natural gas field, South Pars, is estimated to hold roughly 40% of Iran's gas reserves. South Pars gas field, the world's largest shared between Iran and Qatar, has a capacity of 820 million cubic meters (mcm) and 1 mcm of gas and gas condensate per day.