Talking to IRNA, Mohsen Khojastehmehr predicted that the investment will help raise oil production capacity to 5.7 million barrels per day and gas production capacity to 1.5 billion cubic meters per day.

He mentioned that different projects are underway and the country will produce more oil and gas as of next year.  

The official said NIOC has given first priority to the completion of semifinished projects and second priority to the development and production of joint oil and gas fields.

Khojastehmehr added that the 13th [Raeisi] administration has accelerated the implementation of 32 IPC and IPD maintenance production projects halted during the previous government.

Seven enhanced oil recovery (EOR) and production maintenance projects have come on stream during the incumbent administration, said the NIOC CEO, adding the remaining plans are in the operational stage.

The NGL 3200 project is also underway, stated Khojastehmehr, explaining that the project is aimed at collecting all associated gases of the West Karoun oil fields and supplying petrochemical complexes with feedstock.

Touching upon the development of oil fields, he said top priority has been given to Azadegan Oil Field – one of the 10 largest fields of the world, which is shared with Iraq.

The incumbent government, he continued, has increased drilling machinery by 70 percent to boost the country’s oil production.

Furthermore, a memorandum of understanding worth $7 billion was signed with six big banks and six exploration and production companies to expedite the integrated development of South and North Azadegan oil fields, said the official, continuing that a company has been established to increase the Azadegan field’s daily production to 570,000 barrels from current 200,000 barrels, 115,000 of which are produced in South Azadegan that were previously 83,000 barrels.

Asked whether the Economic Council has issued permits for oil projects, Khojastehmehr said a contract on the reclamation of low-yielding wells has been inked and the council has approved $500 million for the project.

He also pointed to a $3.6 billion gas output package ratified by the council, elaborating that it consists of several projects aimed at boosting gas production in 13 fields, with two being in progress.

In response to a question on the latest cooperation between Iran and Russian companies following the $40 billion contract signed with Gazprom, the NIOC chief said, “We have signed $4.5 billion contracts with Russians to develop seven oil fields. Some of oil and gas fields are under study while the Russian companies have conducted studies on some other fields.”

Shifting to the petrochemical industry, he announced that memorandums of understanding have been signed with some petrochemical companies and also a contract valued at $1.1 billion has been inked other petrochemical companies to collect flare gases and separate gases at Bidboland Refinery to supply petrochemical complexes with feedstock.

Concluding his remarks, Khojastehmehr said, “Based on statistics released by domestic manufacturers, 85 percent of equipment the country’s oil industry is using are homegrown.”