The Oil & Gas Year Iran 2016
Our first edition presents a detailed introduction to Iran’s vast oil, gas and petrochemicals industry through exclusive interviews with top Iranian state and private actors, data-driven infographics, pull-out maps and project articles.
The book features prominent individuals from Iran’s governmental sector such as H.E. Rokneddin Javadi, deputy petroleum minister, Ministry of Petroleum; H.E. Hamid Reza Araghi, managing director and deputy petroleum minister for gas affairs, National Iranian Gas Company; H.E. Marzieh Shahdaei, managing director and deputy petroleum minister for petrochemical affairs, National Petrochemical Company; and H.E. Abbas Kazemi, president and deputy petroleum minister, National Iranian Oil Refining & Distribution Company. From the private sector, the book features Abbas Aliabadi, president, MAPNA Group; Behzad Mohammadi, managing director, Oil Industries Engineering and Construction; and Mehdi Mirmoezi, managing director, Pasargad Energy Development Company.
Implementation Day in January 2016 marked the start of sanctions lifting on Iran and its oil and gas industry, and with it the return of Western companies to the market. In its efforts to attract leading operators and services providers, the Iranian Ministry of Petroleum has introduced wide reaching reform to its upstream sector with the launch of the Iran Petroleum Contract.
In line with this reform, Iran announced 52 oil and gasfields available for international investment under the IPC as part of its drive to encourage growth in the sector. Up for tender are 29 oilfields and 23 gasfields including the super-giant South Pars field, which today produces around 400 mcm (14.1 bcf) of sales gas and 640,000 boepd of condensates.
Downstream, Iran is a major consumer of refined products, with the National Iranian Oil Refining & Distribution Company supplying 207.6 million litres per day of petroleum products to the domestic market alone. Major projects under development include the Siraf refinery, which is at the FEED stage and will add 480,000 bpd to Iran’s total domestic refining capacity. As Iran upgrades its refining capacity with a view to pursue exports-led growth, we expect to see more revamp and maintenance projects in Iran’s refineries.
In petrochemicals, the Iranian market is set to flourish on the global stage, increasing domestic capacity by 43 million tpy across 55 strategic projects identified by the National Petrochemical Company. Iran is keen to attract up to USD 55 billion to execute these plans and expand its value-added offering. With abundant feedstock at competitive prices, the market is in a strong position to achieve these ambitions.
As Iran sees significant developments across the hydrocarbons value chain, activity in the country is set to grow for years to come.