Shana

All NISOC wells ready for production

Iran’s oil production level stood at roughly 2.2 mb/d in 2021, before the 13th administration took office. It recently rose to 3.1 mb/d. National Iranian South Oil Company (NISOC) is the main oil supplier in Iran, accounting for 75% of the country’s oil production. Alireza Daneshi, CEO of NISOC, puts the company’s oil production at 2.94 mb/d, which is planned to reach 2.97 mb/d by the end of the current calendar year in March 2024. Owing to measures taken over the past two years, NISOC is now able to bring its production to 2.8 mb/d in 45 days.

South Pars gas field production capacity to top 730 mcm/d next winter: POGC CEO

SHANA (Tehran) – The Pars Oil and Gas Company (POGC) managing director said Iran’s gas production capacity in the South Pars field will exceed 730 million cubic meters per day (mcm/d) next winter.

Iran MPs praise Oil Ministry for taking firm steps toward energy diplomacy promotion

SHANA (Tehran) – A number of Iranian lawmakers have hailed the Oil Ministry’s successful performance and its move toward reviving energy diplomacy.

Petchem value chain completion easy task

Completing the value chain of the petrochemical industry is crucial for Iran. From the standpoint of value creation, it would be possible to enhance national revenue by supplying petrochemical products of high value-added. On the other hand, it would be possible to develop the petrochemical industry to end dependence on imports for supplying domestic needs, which would in turn reduce dependence on crude oil and natural gas sales. The petrochemical projects operated under the 13th administration are all aimed at value chain completion. Implementation of these projects would result in the supply of 21 products in line with the value chain completion. National Petrochemical Company (NPC) expects to accelerate implementation of these projects by engaging holdings and investors.

Iran, potential key player in oil market

Petroleum industry is a key sector in the Iranian economy. Iran has been trying its best to benefit from its giant hydrocarbon resources to realize its objectives set out in its development plans. Along with sustainable oil and gas production, Iran been instrumental in global energy supply. It may not be eliminated from global energy trading as it continues to play an effective role in this sector.

SPGC value chain completed

South Pars refineries have processed over 2,030 bcm of natural gas during the past 26 years. South Pars Gas Complex (SPGC) has been supplying more than 75% of Iran’s gas needs, thereby playing an instrumental role in national economy. Ahmad Bahoush, CEO of SPGC, tells “Iran Petroleum” the gas complex plans to sell flare gas.

Potential for cooperation with CIS

Mehdi Seyedi, acting head of the Ministry of Petroleum’s Europe, Americas and CIS Affairs Division, has said that Research Institute of Petroleum Industry (RIPI) engineers and specialists have contributed to $200 million commercialization and development of new oil and gas technologies.

Turkey economy and energy exploration

Turkey has made major energy finds over recent years thanks to exploration technology. It has discovered huge natural gas and crude oil reserves off the North Sea and the East Mediterranean. That can have a significant impact on the Turkish economy because this country, which has been known as an importer of oil and gas, can now transform its internal and external economy. Of course, in the meantime, Turkey is faced with problems and challenges with regard to extracting and exploiting its energy resources.

Iran seeks to sweeten oil/gas deal terms

The Iranian Ministry of Petroleum has adopted a new plan to sweeten terms of oil and gas contracts. Potential contractors can now file demand for exploration and production (E&P) license to develop oil and gas fields. Until recently, such licenses were granted exclusively to National Iranian Oil Company (NIOC), but now qualified E&P companies would be granted license. The advantage with this new policy is that the procedure is reduced and companies receiving such licenses might no longer need to sign any contract. Iran’s deputy minister of petroleum for supervision on hydrocarbon resources, Sajjad Khalili, tells Iran Petroleum E&P license would make the upstream oil sector attractive to potential investors.

EI report shows 4.6% rise in Iran oil output

SHANA (Tehran) – The Energy Institute (EI) Statistical Review of World Energy published on Monday showed a 4.6 percent increase in Iran’s oil production in 2022.

Active diplomacy causes Iran-Venezuela oil trade to rise to $4b

SHANA (Tehran) – The active diplomacy of Iran’s Ministry of Petroleum and the effective measures carried out by the 13th (incumbent) administration have led to an exponential increase in Iran-Venezuela cooperation in the oil industry, causing the two countries’ oil trade in the past 20 months to hit $4 billion.

How EU gas price cap impacts markets

The European Union (EU) has over the past two decades sought to deregulate gas, thereby supporting gas pricing based on market mechanism in gas hubs versus oil-indexed gas pricing in long-term contracts. However, in the midst of Russia-Ukraine tension and the subsequent spike in gas prices, the European bloc has for the first time set a price cap for gas transactions in a bid to blunt gas price fluctuations. But what are the consequences of this policy? What message are the Europeans sending to the gas market? The Gas Market Division of the Directorate of OPEC and Int’l Energy Fora of Iran’s Ministry of Petroleum has studied this policy and its impact on global markets.

War in Ukraine and changing geopolitics of energy

As the war in Ukraine surpassed the one-year threshold with no solid evidence that it may end soon, the international oil and energy markets demonstrate its resilience to stand to the task. International oil market and energy market was once hit by COVID late 2019 and suffered hugely throughout 2020 and part of 2021. However, thanks to coordination between OPEC and non-OPEC producers, the market found its way towards normalcy and stability.

Iran, Saudi normalize ties at critical juncture

The Islamic Republic of Iran and Saudi Arabia, the two great oil reserves holders and producers of the Middle East and OPEC, have agreed to restore relationship that was severed during some seven years ago. The deal on restoration of ties was brokered by China and finalized in Beijing on 10 March 2023. The decision to restore ties may not have an immediate impact on the geopolitics and energy tectonic of the region and the world but, in my opinion, will rewrite the Middle Eastern pathway towards a much better dynamics. We’ve been discussing the “Asian Century” and a gradual relocation of eco-political center of gravity from West to South for quite some time. A couple of major international events; however, expedited the cycle of events.

Iran rivals foreigners in exploration

Exploration in Iran’s petroleum industry has advanced to the extent that a large number of countries currently are asking Iran to share its geological experience with them. Mehdi Fakour, director of exploration at National Iranian Oil Company (NIOC), has said Iran has achieved geochemical and geobotanic technology in oil exploration, thereby becoming a rival to foreign companies in exploration technologies. Iran is currently in oil and gas exploration relationship with four neighbors. Talks are also under way for exporting local know-how and equipment to these countries. Fakour said it would create value and income for Iran.

Ilam refinery gas processing up 10mcm/d

Ilam gas treatment facility is the only facility in western Iran. Sprawling on 250 ha of land, it supplies gas to western provinces in addition to feeding downstream industries including the Ilam Petrochemical Plant. The CEO of Ilam Gas Refining Company Ruhollah Nourian has said the refiner fed 1.174 bcm of gas into national grid during the first three quarters of the current Iranian calendar year (ends on March 20), up 9% year-on-year.

Iran exports petchems under own brand

CEO of National Petrochemical Company (NPC) Morteza Shahmirzaei has announced plans for exporting “Iranian-branded” petrochemical products in the current calendar year.

West Karoun, Iran new oil civilization

West Karoun area in western Iran is expected to form a new oil civilization. Based on plans, Iran intends to rely on the 11 oil fields located in this area with a view to lifting its crude oil output from West Karoun fields to 1 mb/d within four years.

Abadan refinery throughput up 210 kb/d

In coincidence with the anniversary of nationalization of Iran’s petroleum industry, President Ebrahim Raeisi and Minister of Petroleum Javad Owji oversaw the inauguration of the first section of a project aimed at enhancing output from the Abadan oil refinery. Noting that the second phase development of the Abadan refinery was aimed at ending crude oil sales.

Gas renaissance after oil reservoirs depletion

By development of Khami reservoir and using associated gas extracted from fields run by National Iranian South Oil Company (NISOC), the company will commence its second step toward development in the oil-rich regions so that by taking this measure we will witness taking primary measures in line with reaching gas renaissance in an area ofover70, 000 square kilometers stretching from Bushehr province to Khuzestan province.

Gas gathering picks up pace

Iran plans to gather 8.2 mcm/d of flare gas as of next calendar year (starting on 21 March 2023), which would increase 18.2 mcm/d during next year. Therefore, Iran would have gathered 50% of its flare gas by March 2024. In the calendar year to March 2025, Iran would be gathering 17 mcm/d of flare gas and during the following year, gas gathering would be at 7 mcm/d. Therefore, Iran would have gathered all its flare gas by 2025. Over 150 bcm of flare gas is turned into air pollutants at oil wells every year across the world. According to the World Bank (WB), that is equal to one-third of Europe’s total gas consumption. According to WB data, until 2018, Iran was the third largest producer of flare gas, behind Russia and Iraq. Flaring in Iran was down from 17 bcm in 2018 to 13.78 bcm in 2019.

Sanctions fail to paralyze Iran oil industry

SHANA (Tehran) – Sanctions imposed by the enemy have failed and will fail to paralyze Iran’s largest supplier of energy and foreign currencies – the Ministry of Petroleum.

Iran excelling in conventional, unconventional fields study

Experts at Research Institute of Petroleum Industry (RIPI), which is the main center of research and exploration for gas hydrates in Iran, say that each cubic meter of gas hydrate generates as much thermal value as 164 cubic meters of gas. Common technologies used for recovery from these resources may be costlier than technologies used for recovering from conventional resources; however, the cost-effectiveness of gas hydrate recovery becomes known when conventional resources go on the decline. Touraj Behrouz, head of Upstream Industry Research and Development Division of RIPI, has said good achievements have been made in modelling, studies and lab activities in both conventional and conventional fields.

Iran among sponge coke technology proprietors

Iran has joined the six countries possessing technical know-how to produce sponge coke. Sponge coke production has started in the Bandar Abbas oil refinery after upgrading the quality of heavy products there.

Maroun oil/gas output to rise 5%

Maroun Oil and Gas Production Company (MOGPC) is expected to see its oil and gas production grow 5% as new modifications are under way in its pipelines. Qobad Nasseri, CEO of MOGPC, told “Iran Petroleum” that plans were also under way to end the flaring of 40 mcf/d of associated petroleum gas.

Tehran, Beijing sign 20 documents

Iran, reliable partner for world energy supply

The Iranian president, Ebrahim Raeisi, visited China at the head of a high-ranking delegation at the invitation of his Chinese counterpart Xi Jinping in mid-February. Minister of Petroleum Javad Owji was accompanying the president. During the three-day visit, 20 documents of cooperation were signed between the two nations in various sectors. Raeisi highlighted Iran’s huge oil and gas reserves, saying: “Iran-China partnership in maintaining energy security can help establish peace and bring about development at the regional and global levels, not to mention guarantee shared interests.”

$3.4bn projects inaugurated in Assaluyeh

President Ebrahim Raeisi and Minister of Petroleum Javad Owji oversaw inauguration of oil projects worth $3.4 billion in Assaluyeh. Chief among them were the refinery of Phase 14 of the giant South Pars gas field, the Pars Glycol Petrochemical Plant and 9 petrochemical storage tanks. 

3 Oil Field Development Projects Due Soon

TEHRAN (Shana) -- National Iranian South Oil Company (NISOC)’s plan to develop 28 reservoirs, with the focus being on output preservation and enhancement, is accelerating. Ali Reza Daneshi, CEO of NISOC, said that obstacles in the way of development of the 28 reservoirs, including contractors’ supply of commodities and payment issue, have been taken into consideration. He expressed hope that the Nargesi, Kaboud and Lali Asmari fields would have been developed by March 2023.

Transition to New Order in Oil Market?

TEHRAN (Shana) -- The Iranian Petroleum Ministry’s Directorate of OPEC and Int’l Energy Fora has analyzed the oil market to conclude that last year’s developments gave rise to a new tug-of-war, which will soon result in a new balance of forces. In the new order envisaged for the oil market, Western governments will see their monopoly decline on the oil market which would turn into a regional market with a lower level of integration. However, the trans-Atlantic energy market between North America and Europe is projected to show further integration.  

2022 Oil Market Review and 2023 Forecast

TEHRAN (Shana) -- As the international oil market warms up for 2023 let’s take a look at major events that had immense impact on the world oil markets in 2022. The global energy market was just done with Pandemic that hit demand in early 2020 jeopardizing the supply chain most severely. Producing countries need to be praised and acknowledged for the wonderful job of adjusting skillfully with the demand destruction leading to a swift balance in the market. However, early in 2022 the international oil and energy market was confronted with a severe blow when the Russian conflict with Ukraine broke out on 24 February 2022.