Shell has also bid for the re-development of Soroush oil field – located in the Persian Gulf – which it had previously developed in early 2000s.
Total, Eni and Hyundai have presented proposals for unspecified phases of South Pars gas field. Total was already involved in the development of South Pars Phases 2 and 3. Eni was involved in the development of Phases 4 and 5 and Hyundai in Phases 4, 5 and 6.
Iran’s new format of oil contracts is replacing buyback deals. Under a buyback deal, the host government agrees to pay the contractor an agreed price for all volumes of hydrocarbons the contractor produces.
But under the new contracts, the NIOC will set up joint ventures for crude oil and gas production with international companies which will be paid with a share of the output.
Under the new contracts, different stages of exploration, development and production will be offered to contractors as an integrated package, with the emphasis laid on enhanced and improved recovery.