Oil Minister : Iran Has Extra Capacity To Raise Oil, Gas Outputs

Shiraz, Fars Prov., July 2, IRNA – Minister of Oil, Rostam Qassemi, said on Sunday that Iran enjoys abundant capacities for raising crude oil and gas outputs to be used when necessary. Speaking to reporters on the sidelines of visiting Fars Province Science and Technology Park, Qassemi said that Iran has spare capacity for oil and gas outputs in light of the numerous oil and gas fields under operation. He said that the Oil Ministry has given priority to develop joint fields with the neighboring states. National Iranian Oil Company is planning to sign dlrs 50 billion contracts for developing joint oil and gas fields with the neighboring states. Signing contracts for the development of joint oil and gas fields started in the last Iranian year (ended March 19) and will continue until the end of the current Iranian year (started March 20, 2012) . He said that the Oil Ministry will consider developing independent fields if there is an interested investor preferrably on buyback scheme. Iran produced four million bpd crude oil in the past Iranian year. National Iranian Oil Company has plans to produce 4.5 million bpd in 2013, 4.6 million bpd in 2014, and 5.1 million bpd in 2015. Iran shares oil and gas fields with most of its neighbors in the Persian Gulf region as well as with Turkmenistan in the Caspian Sea. According to the plans, Iran will spend 35 percent of the budget for development of oil and gas industry on developing joint oil and gas fields with the neighboring states. Having the world's third-largest proven oil reserves and the second-largest natural gas reserves, Iran has shifted strategy from crude oil exports and prefers to export oil derivatives and petrochemical products./end