To develop 27 hydrocarbon reservoirs, negotiations are underway between the state-owned National Iranian South Oil Company and multinationals to sign deals worth $4.3 billion in the next two years, the managing director of NISOC said.
"The contracts are targeted at boosting the company's output by 340,000 barrels per day," Bijan Alipour was also quoted as saying by Shana.
He added that preliminary agreements have been reached with a number of firms whose names shall remain anonymous until the contract is finalized.
The official noted that the company's production stands at 3.1 million barrels per day, including gas condensates.
In line with policies to focus on exploration activities to boost output, NISOC has also held tenders to outsource the repair and maintenance of crude processing units.
"The winner of the bid will be assigned to carry out routine maintenance work in refining installations controlled by NISOC in different oilfields," he said.
According to the official, the result of the bid is expected to be announced in the near future, following which qualified domestic and foreign firms will start working in different sectors, including health, safety and environment.
Alipour added that the strategy will help NISOC concentrate on more important issues, namely raising production instead of engaging in time-consuming operations like repair jobs, while creating much-needed jobs in the country.
"NISOC has indigenized tools used in the petroleum sector, including various types of drill bits as well as wellhead and downhole equipment, control valves, pipes, rotating machines [turbines and compressors], smart pigs used in cleaning the pipes, oil and gas measurement tools as well as equipment associated with health and safety," he said.
NISOC, as the largest subsidiary of Iran's state oil company, is responsible for developing 65 oil and gas fields in the south, containing some 330 billion barrels of oil reservoirs and nearly 12 trillion cubic meters of natural gas.
On international and domestic companies' role in developing fields in the southern oil-rich regions, Alipour said his company has signed MoUs with Schlumberger Ltd, the world's leading oilfield services provider, Pergas Consortium, a group of 11 international oil and gas companies, and Russia's Tatneft, Lukoil, Gazprom Neft PJSC and Rosneft to conduct studies on Karanj, Shadegan, Rag Sefid and Parsi oilfields near Ahvaz as well as Cheshmeh Khosh and Changuleh fields in Ilam Province in the western regions.
"Negotiations have been held with 33 international firms to cooperate in joint ventures and several MoUs have been signed," he added.
According to reports, NISOC has opened talks with BP Plc to enhance the rate of recovery from the above-mentioned fields. The company also signed agreements with Shiraz University, Islamic Azad University and state-owned Oil Industry Research Institute to help enhance the recovery rate in Abteymour, Bibi Hakimeh and Mansouri oilfields in the south.
