Amir Moqiseh stated that contracts for units of crude oil development in the past were signed traditionally, often under EPC contracts. The duration of these contracts was three years but actually took over five years to complete – projects like Ahvaz, the Central Treatment and Export Plant (CTEP) of the South Azadegan joint field.

He noted that the express construction of equipment (skid mounted) in public-private partnership contracts takes less than two years to build a factory. The official added that these contracts typically last 10 years, and government organizations are obliged under Article 20 of the Seventh Five-Year Development Plan (2024-28) and Article 40 of the Production and Infrastructure Financing Law to transfer their implementable projects to investors through public-private partnerships.

The NIOC official stressed that, in the first phase, contracts for private sector investment were awarded to process daily 115,000 barrels of crude oil for the Mansouri (Asmari), Qale-Nar, Kaboud and Balaroud fields. In the second phase, six contracts totaling $1.671 billion have been signed to process an additional 315,000 barrels daily, including: Mansouri (Bangestan) – 65,000 barrels; Abtimur – 30,000 barrels; Ramshir – 55,000 barrels; Koranj – 55,000 barrels; Golkhari – 60,000 barrels and Mansourabad – 50,000 barrels.

Moqiseh added that a total of 430,000 barrels of crude oil are being transferred through skid mounting under public-private partnership contracts – 190,000 barrels for increased production and 240,000 barrels for maintaining and improving the quality of the oil.

He went on to say that the express construction of equipment (skid mounting) under public-private partnership contracts takes less than two years – a significant improvement compared to traditional contracts which can take over five years. The official added that, as the private sector is motivated to complete projects quickly and receive their payment, it’s possible to achieve this in a shorter timeframe.

Moqiseh referred to contracts for the procurement of 20 onshore drilling rigs with a capacity of 2,000 horsepower from the private and non-governmental sectors, and a five-year guaranteed purchase agreement. He stated that the NIOC has signed agreements with six applicants for investment in this field through a public-private partnership scheme to purchase drilling services under a guaranteed purchase program. These companies must supply new rigs from abroad within six months.