Iran sanctions South Pars 20, 21

Offshore staff

TEHRAN -- Iran has authorized development of phases 20 and 21 of the South Pars gas field in the Persian Gulf.

Oil Industries Engineering and Construction will be the project’s main shareholder, with Iran Offshore Facilities Construction and Engineering Co. the lead contractor.

The $5.5 billion development project will feature two standalone platforms, each with 11 wells, and with process equipment onboard to separate gas, liquid and produced water. The well stream will be exported to the shore through two 120-km (74.6-mi), 32-in. (81.3-cm) pipelines

Contaminated water will be filtered before being returned to the sea. A tripod installation will be located 170 m (558 ft) from the main platforms for emergency evacuation of personnel.

National Iranian Oil Co. expects the two-phase project to deliver 50 MMcm/d of gas for Iran’s domestic consumption and 75,000 b/d of de-sulfurized and stabilized gas-condensates.

Around 1 MM tons of ethane/yr should be generated for use in the petrochemical industry, with 400 tons/d of extracted sulfur exported. There are further plans involving exports of both LNG and LPG.

To handle the various by-products, Iran will construct new refining facilities on a site in the Pars Special Economic Zone near the port of Kangan in the south-western Bushehr province.

06/01/2009