Export of Engineering Services Tops NIOC Priority

Export of Engineering Services Tops NIOC PriorityExport of Engineering Services Tops NIOC Priority

Exporting engineering and technical services in oil and gas sectors from Iran to Turkmenistan will exceed $1 billion by the end of the current Iranian year (March 19, 2016), said a deputy oil minister.

Rokneddin Javadi added that contracts, valued at $450 million, have been signed with Turkmen oil and gas manufactures to supply them with engineering and technical services as well as equipment, Mehr News Agency reported.

The official noted that Iran's presence in international markets is the roadmap to success, which explains the macro policy to boost the export of domestic engineering services.

Stressing that it is essential to be involved in the oil and gas projects of neighboring states, Javadi announced that the National Iranian Oil Company's office was officially opened in Iraq last week.

According to Javadi, more than 95% of construction operations in oil and gas sectors are carried out by domestic contractors, which is not sufficient and there is a long way to go to become a key player in international projects.

Underscoring the landmark nuclear deal between Iran and six major world powers reached on July 14, Javadi said, "The new political climate can help us import state-of-the-art technology we lack as we are lagging behind oil giants."

Despite Tehran's efforts to diversify the economy, the oil and gas industry remains the critical engine of economic growth.