Petronas Proposal for Azadegan Project

Malaysia's state oil company Petronas submitted its development proposals for Azadegan Oilfield, the country's largest oilfield located in the southern oil-rich province of Khuzestan. According to the National Iranian Oil Company's news portal, a technical committee from Petronas presented its master development plan to the officials of Iran's Petroleum Engineering and Development Company. Petronas signed a non-disclosure agreement with PEDEC last December to study Azadegan Oilfield, which is divided into the north and south sections and holds an estimated 33 billion barrels of in-place oil. France's Total and Japan's Inpex have already submitted their findings along with development proposals for the giant field, leading the line of international energy majors wanting to return to Iran's oil and gas industry after the lifting of economic sanctions last year. According to official reports, the field's recovery rate is 6%, whereas average oil recovery factor worldwide is between 20% and 40%. Tehran hopes the South Azadegan tender will pave the way for the presence of foreign oil companies in dozens more projects.