TEHRAN, Iran – Domestic companies will finance a $5-billion program Iran is planning to enhance production from various oil fields, according to a report by news service Shana.
Minister of Petroleum Bijan Zangeneh, addressing an energy congress in Tehran, said the package would be prepared within the next two years, and would involve repairing some oil wells and drilling new ones while removing production bottlenecks at certain fields.
Many of the fields are operated by theIranian Offshore Oil Co. and the National Iranian South Oil Co.
The plan is to assemble various packages of $300-million projects, he added, each taking two years to complete, with a return on investments expected within three years.
“We will invite only Iranian companies for financing these projects but they may decide to join a foreign partner,” Zangeneh said.
“The cash for developing the projects will be obtained through various methods including financing, usance, bonds, domestic finances and loans from the National Development Fund of Iran.”