KEPCO to Unveil 4 Projects in IPC Confab

KEPCO to Unveil 4 Projects in IPC ConfabKEPCO to Unveil 4 Projects in IPC Confab

Khazar Exploration and Production Company will unveil four of its mega projects in the conference slated to announce the details of the new Iran Petroleum Contract in Tehran, said managing director of KEPCO on Wednesday.

"The most important plan to be introduced is Sardar-e-Jangal oilfield expansion project," Ali Osouli was quoted as saying by Shana.

According to Osouli, KEPCO's projects are basically exploratory, production and developmental.

The company intends to let the participants in the conference know about the projects' features to attract as much investment as possible.   

"The drilling operation of the second well in Sardar-e-Jangal oilfield has already been completed," he said.

Asked about Amir Kabir Semi Submersible Drilling Rig, the official said, "It is ready to be transferred to the site as soon as licenses are obtained from the Ports & Maritime Organization of Iran."

Stressing that in the sanctions era, KEPCO had to draw on its domestic workforce to run its projects in the Caspian Sea oil-rich region, Osouli noted, "In the post-sanctions period, foreign enterprises have shown willingness to invest in our projects and negotiations are underway to explore and produce oil in the Caspian Sea, as investment in this field is economically viable."

  Cutting-Edge Technology  

Highlighting the cutting-edge deep-water drilling technology required, which lots of companies do not have access to, Osouli said, "Inevitably, we have to get help from special foreign companies."

Iran will lift the curtain on the framework of its multibillion-dollar new oil contract in a conference on November 28-29 in Tehran.

"The conference will host a large number of major foreign and local companies, academic figures and economic experts in Tehran," Seyyed Mehdi Hosseini, chairman of Oil Contracts Restructuring Committee, was quoted as saying by Shana.

The Islamic Republic's revised contracts, known as Iran Petroleum Contract or IPC, is aimed at accelerating the development of oil and gas fields, making up for underdevelopment of joint fields over the past few years and employing advanced technologies in the energy sector.

Officials say Tehran has sweetened the terms of the new contract to attract billions of dollars in foreign direct investment for up to 50 oil exploration and production projects, and revised some of the drawbacks of previous oil contracts, such as the terms of the buyback contracts.

In addition to demonstrating the Oil Ministry's priorities in investment deals, the two-day event will highlight the performance and activities of the oil industry and provide details to Iranian and foreign investors.

In December 2011, Iran announced that it had discovered a substantial oil deposit, later called Sardar-e-Jangal field, which reportedly contains about 10 billion barrels of oil and 500 million cubic meters of recoverable natural gas. It is located 188 km north of Roudsar in Gilan Province and 250 km northwest of Neka.

In May 2012, another field, Sardar Melli, was discovered at the same altitude.

Traditionally an oil-producing area, the Caspian area’s importance as a natural gas producer is fast growing. Offshore fields account for 41% of total Caspian crude oil and lease condensate (19.6 billion barrels) and 36% of natural gas (3 trillion cubic meters).

Most of the offshore oil reserves are in the northern parts of the sea, while most of the offshore natural gas reserves are in the southern regions.