South Pars Gas Company has signed a deal with an unnamed domestic firm on transferring the associated petroleum gases from Phase 12 of the giant South Pars Gas Field in Persian Gulf.
According to Javad Soheili, the company's head of Commercial Department, a two-year deal worth $8.48 million has been concluded between the two companies, which could be further renewed, Shana, the news agency of the Oil Ministry, reported on Saturday.
Soheili noted that gases will be transferred to the refineries for other uses like electricity generation.
"In the long run, we are eying exports and selling APG to foreign buyers," he added.
Plans are in place to bring the level of gas flaring in the South Pars field down to zero by March 2020 and prevent up to 400 million cubic meters of APG from burning off annually.
