IOEC Seeking Overseas Expansion

The executive director of the Iranian Offshore Engineering and Construction Company says his company wants to play a more active role in international oil development projects,  especially in Europe and Africa.

"Negotiations are underway with some international oil giants to implement joint ventures in the Black Sea in Europe and in Nigeria," Abolqasem Rahmani was quoted as saying by IRNA.

According to Rahmani, cooperation with foreign firms can help IOEC not only to export its technical and engineering services but also undertake projects overseas.

Underscoring Iran's offshore oil development experience, he said, "An agreement has been signed with a Dutch company which lets the two companies use each other's equipment and machinery on demand." He did not elaborate.  

Asked about the company's overseas plans, he said talks are underway to include IOEC in a subsea gas pipeline project in Europe. The official did not give details of the project but said operations to lay the pipeline could begin next year.

On IOEC's contribution to oil ventures in Africa, Rahmani said negotiations are being held to build a 500km oil transmission pipeline in Nigeria.

"Security issues in Nigeria should be taken into consideration prior to signing any agreement."

Pointing to the construction of South Pars platforms, he said gone are the days when Iran had to draw on the experience and help of other countries to complete its offshore facilities namely platforms and subsea pipelines.

  Indigenized Platforms

According to the official, the design and construction works as well as loading and installation of the platforms for phases 17-21 have been completely indigenized for the first time with the help of Iranian engineers.

"Not long ago, foreign oil giants like Shell and Total played a key role in building and installing the platforms," he said, noting that relying on experience gained in recent years, domestic firms are capable of constructing complex oil/gas platforms in less than two years "if there is no funding problem."

An official from the Society of Iranian Petroleum Industry Equipment Manufacturers (SIPIEM) recently said Iran is struggling to boost the export of oil industry equipment.

Mohammad Hassan Didevar, a member of the board of SIPIEM, said Iran's opaque regulations in the financial and banking sectors and the government-dominated economy create big loopholes for rent-seeking and leave little room for private enterprise to prosper.

IOEC specializes in offshore EPC projects and is considered one of the regional pioneers in this area. Established in 1991, the company designs, procures, constructs, installs and provides services for a complete range of offshore surface and partial subsurface infrastructure for the offshore oil and gas industries.