According to NIOC, Hamid Bovard said Monday, during a joint meeting with Fund President Mehdi Ghazanfari, that the goal is to launch a fundamental, high–value-added effort for the country. “Investment in the oil industry not only creates jobs but also stimulates other industries,” he said.

Bovard added that under the new agreement with the Fund to increase production by 250,000 barrels of oil, a variety of financing methods are planned. He said the Fund will be assured of guaranteed returns so it can allocate resources to other projects.

Three priority projects

The NIOC chief said the aim is to turn the oil industry — and by extension the country — into a massive workshop. Among hundreds of active projects, three have special priority, he said. The first is boosting output in oil and gas fields, which is already underway in most fields through improved development models.

Bovard highlighted development of the Azadegan field and other West Karun fields, shared with Iraq, as another key project. NIOC’s target, he said, is to raise production from the region to 1 million barrels of crude oil per day through new development models and intensive work.

He also named the South Pars gas field pressure-boosting project as a top priority. The project is critical, he said, because more than 70% of Iran’s gas comes from South Pars, and falling reservoir pressure could pose serious challenges. Although initial work has begun with limited funding, Bovard said the project requires much larger investment.

Fund sees strategic role in oil projects

Ghazanfari, the Fund’s president, called participation in oil and gas projects an exceptional opportunity. The Fund typically contributes between 20% and 80% to projects, he said, and cooperation with NIOC could generate valuable resources for the future of the industry.

He stressed the need to align institutional and national interests. “Sometimes conflicting interests among organizations cause disputes. We must ensure that national interests come first, because the true owners of oil and the Fund are the people of Iran,” Ghazanfari said.