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Urgent News:
Methanol and Electricity Generation System Using Flare’s Surplus Gases
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Phase I of South Pars; Significant Step to Bolster Domestic Forces |
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Author : K.Soltani
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Iran’s oil industry has started a countdown for inauguration of the first phase of the giant South Pars Gas Field. For the first time, Iranian contractor Petropars accounts for the project. Petropars owns 70 percent of the deal indicating progress in infrastructures. Rahim Tabrizi, director for Phase I of South Pars in Petropars, says inauguration of the project demonstrates Iranian capability in the oil sector.
“Iranian companies did not enjoy such capacity before handing the South Pars but now the deficiencies have been removed and there is no shortage of equipment,” he said.
He added that Iranian companies notably offshoots of the Industrial Development and Renovation Organization (IDRO) used their capacities and boosted their readiness for next projects.
Petropars moved to start handling the project in 1999 in a bid to bring in technological savvy and manage infrastructural engineering projects. Other objectives behind the project is competition with oil giants and creation of jobs in the country.
The first phase of South Pars Project is to produce 25 million cu. m. natural gas, 40,000 barrels gas condensate and 200 tons sulfur per day.
The project was a new record in terms of participation of Iranian manpower in upstream oil project.
Offshore installations of the project include two drilling platforms, a production platform, a living quarter platform, a 32-inch undersea pipeline 105 km long as well as gas refinery and accessory onshore installations.
Implementation of South Pars phase 1 was given to Petropars Company in 1997 as a buyback deal and total cost of the project, which was completed in about 4 years, stood at about 1.181 billion dollars.
More than 100 Iranian and foreign contractors took part in the implementation of the project.
The onshore sector of South Pars was handled under the following projects:
1. Process Plant
2. Utility Facilities
3. Telecommunications
4. Condensate Storage Tanks
5. Operating Base
The project is estimated to have cost 1.18 billion dollars and more than 100 Iranian and foreign contractors have been involved. It is supposed to give 3.5 million dollars per day in revenues and some experts have blamed foot-dragging on the project.
However, Minister of Oil Bijan Namdar Zanganeh says delayed inauguration of Phase I of South Pars has nothing to do with Petropars. He cites technological problems for the delay. In fact, new gas processing technology and structural changes in the project are behind the delay in the first phase.
We should bear in mind the incontestable fact that Iran is rich in oil and gas thereby occupying a special status in the region. Proper management is required for the country’s oil and gas fields so that the country would serve as a good point for transit of energy.
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Date: 2004-12-03 | Viewed: 1425
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