Gov’t to Issue Bonds for Oil, Gas Projects

Gov’t to Issue Bonds for Oil, Gas Projects

While proceeding with part of the budget pertaining to the government’s expenditures, members of the parliament on Sunday provided for issuance of 150 trillion rials ($5.4 billion) of fixed-rate participatory bonds for implementation of semi-finished oil and gas projects, as well development plans of joint oil and gas fields, ISNA reported.
The parliament had previously authorized the government to issue 100 trillion rials ($3.6 billion) worth of participatory bonds as part of next year’s budget (begins March 21) for implementation of projects deemed economically and technically viable, with priority having been given to development of joint oil and gas fields, restraint of underground water resources, water supply and desalination projects, wastewater projects, power plants, and gas-to-chemical projects.
Moreover, under a proposal approved by parliament last Tuesday, government is authorized to withdraw up to $4.8 billion from the sovereign wealth fund, the National Development Fund of Iran (NDFI), for developing oil and gas fields through next year.
The NDFI balance is estimated at about $62 billion, according to the Sovereign Wealth Fund Institute.
After the plunge in oil prices over the last several months cut its oil revenues, the government slashed the oil price assumption in next fiscal year’s budget to $40 a barrel from $72.
Oil industry requires $30 billion investment per annum for maintenance, production stability, and development projects, deputy oil minister Mansour Moazzami said Saturday.

Short URL : http://goo.gl/S9t49A

You can also read ...

China Rejects US Sanctions, Vows to Continue Iran Crude Purchase
As the US and Iran continue to trade barbs over the...
India Vying for US Waiver
India, the second biggest crude customer of Iran, may cut its...
Venezuela Braces for Pricey Gasoline
Gasoline prices in Venezuela will soon catch up with world...
Zanganeh to Attend OPEC, Non-OPEC Committee Meeting
Iran's Oil Minister Bijan Namdar Zanganeh will attend a...
S. Korea Iran Crude Imports Up 15%
South Korea’s imports of Iranian crude rose around 15% in July...
Indonesia Cuts Oil Imports
Indonesia’s PT Pertamina will get an extra 225,000 barrels per...
UK's Quercus Halts Iran Renewable Project
British renewable energy investor Quercus said it will halt...
NPC Not Worried About Exports
The National Petrochemical Company is not concerned about...