Iran makes up South Pars budget shortfall

Iran plans to allocate further funds for development of phases 15 and 16 of the South Pars gas field in the Persian Gulf.

Offshore staff

TEHRAN -- Iran plans to allocate further funds for development of phases 15 and 16 of the South Pars gas field in the Persian Gulf.

According to the country’s Petroenergy Information Network (Shana), $1 billion from Iran’s Currency Saving Account has been earmarked for South Pars, some of this set aside to make up a budget deficit on phases 15 and 16.

Abolgasem Nobakhti, manager of these phases, said investment on these programs to date totaled $2,097 million. “This certainly does not suffice to complete the project.

“Undoubtedly, the investment required to put these two phases into operation would be equal to the investment made on phases 20 and 21.” The drilling estimate alone for the current program is around Eu 600 million ($836 million), he added.

07/13/2009

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