IPO reveals plans for Farsi development

Three Indian companies are set to invest $5 billion in developing a gas field in the eastern Persian Gulf, according to Iran’s Petroenergy Information Network (Shana).

Offshore staff

TEHRAN -- Three Indian companies are set to invest $5 billion in developing a gas field in the eastern Persian Gulf, according to Iran’s Petroenergy Information Network (Shana).

The three companies are said to be ONGC Videsh, Indian Oil Corp, and Oil India. Shana added that OIL, in a current prospectus for an initial public offering (IPO), reported that ONGC submitted a development plan for the Farzad-B field this April.

Farzad-B, in the Farsi offshore block, has in-place gas of 21.68 tcf, Shana claims, of which 12.8 tcf may be recoverable. The cost of the development plan issued by the consortium is said to be around $5 billion over a seven-eight year period.

ONGC holds a 40% interest in the block, which covers an area of 3,500 sq km (1,351 sq mi).

09/08/2009

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