Phase 13 of South Pars Gas Field which will fully come on stream by the end of March can generate $5 million in revenues per day, director of the project said Wednesday.
"South Pars is being developed in 24 phases, of which 20 are either partly or fully operational. Each phase, once fully developed, annually earns close to $1.5 billion," Payam Motamed was quoted as saying by Shana, the Oil Ministry news portal.
South Pars phases come into operation gradually.
Development of each phase of the field, located in the Persian Gulf, adds 1.28% to the GDP, he said.
"South Pars projects have the highest rate of return on investment not only in Iran but also in the world," he noted, adding that $5 billion has been invested in Phase 13 which will be returned in full plus interest to investors in less than three years even if international oil prices oscillate between $48 and $50 a barrel.
Elaborating on the work-in-progress in the phase, he said the processing trains are up and running and can refine 56 million cubic meters of sour gas per day before it is injected into the Iran Gas Trunkline —aka IGAT.
Highlighting the importance of fighting air pollution in the region, Motamed noted that the sulfur recycling units are operating and help curtail burning 780 tons of noxious gas components per annum.
Phase 13 gas condensate output is being sold in international markets and is its ethane is supplied as feedstock to petrochemical complexes in Pars Special Economic Energy Zone.
According to the official, the contract for Phase 13 was signed in 2013 when foreign firms abandoned major energy projects due to the international sanctions.
"The event turned out to be a blessing in disguise. Domestic companies are constructing the offshore platforms and laying subsea pipelines."
On the same note, he added, "There is no denying that it took domestic contractors longer to complete the projects. Nonetheless, they now have enough experience and can do the same work in shorter periods." Almost 70% of equipment needed for the projects have been indigenized.
International companies completed each phase in four years, yet Phase 13 took about six years.
Inadvertent Collision
Regarding the accident that destroyed the 13A platform jacket, Motamed said, "In March 2015, a Singapore-flagged oil tanker, Alpine Eternity, inadvertently collided and damaged the offshore platform jacket causing extended delays."
Jacket refers to the steel frame supporting the deck and the topsides in a fixed offshore platform. According to reports, the topsides—the upper half of the structure—had not been mounted on the jacket when the incident took place.
Underscoring that the collision could have created a very dangerous situation for the wells, Motamed said Iranian engineers rebuilt the wellhead installations and drilled a series of new wells in six months.
The 72-meter-high offshore jacket, on which the main platform will be installed, was manufactured the Iran Marine Industrial Company.
