• 5 minutes Drone attacks cause fire at two Saudi Aramco facilities, blaze now under control
  • 7 minutes China Faces Economic Collapse
  • 11 minutes Oil Production Growth In U.S. Grinds To A Halt
  • 13 minutes Iran in the world market
  • 15 minutes Ethanol, the Perfect Home Remedy for A Saudi Oil Fever
  • 17 minutes Experts review Saudi damage photos. Say Said is need to do a lot of explaining.
  • 1 min Let's shut down dissent like The Conversation in Australia
  • 7 hours Saudis Confirm a Cruise Missile from Iranian Origin
  • 2 hours Who Benefits From The "Iran Attacked Saudi Arabia" Narrative?
  • 50 mins Pompeo: Aramco Attacks Are An "Act Of War" By Iran
  • 15 hours Is It Time To Invest In Offshore Drillers?
  • 12 hours Trump Will Win In 2020 And Beyond..?
  • 17 hours Trump new National Security Advisor. Trump easily manipulated.
  • 10 hours Democrats and Gun Views
  • 21 hours Aramco Production
  • 18 hours The Spy Money: U.S. Wants To Seize All Money Edward Snowden Makes From New Book
  • 15 hours Yawn... Parliament Poised to Force Brexit Delay Until Jan. 31
Alt Text

Iran Has Perfected The Art Of Hiding Its Oil Tankers

Despite sanctions and mounting geopolitical…

Alt Text

UAE: OPEC Can Fill Saudi Oil Supply Gap If Necessary

OPEC has sufficient spare capacity…

Dave Forest

Dave Forest

Dave is Managing Geologist of the Pierce Points Daily E-Letter.

More Info

Premium Content

Will This Foreign Oil Giant Grab Iran's First Post-Sanctions Project?

Iran's newly-opened oil patch continues to gain momentum. With the UAE's Emirates National Oil Company saying this week it has paid $4 billion to Iran to settle a tab for crude, built up during the sanctions period.

And the coming weeks may bring an even bigger development for this emerging oil hotspot. The award of Iran's first post-sanctions petroleum contract -- representing the first-ever occasion in modern times that projects here will be available on global-scale commercial terms.

The CEO of National Iranian Oil Company, Ali Kardor, said early this week that the government will soon issue its first project tender. For the Azadegan oil field, located near Iran's border with Iraq.

Kardor noted the tender for Azadegan will be released by June 2 -- with 29 pre-qualified companies reportedly invited to bid.

Iran's oil minister Bijan Zanganeh confirmed the tender. Saying his ministry is finalizing a contract for development of Azadegan, under the new petroleum model hammered out by lawmakers over the past year.

The prize here is big. With Azadegan containing an estimated 33 to 42 billion barrels of oil in place -- and 6 billion likely recoverable. Making this one of the largest projects to come on offer globally in recent years. Related: The Big Data Revolution In Oil Is Accelerating

That will draw significant interest from firms around the world. With majors from Europe, Asia, and Russia all having signaled their intention to pursue projects in Iran.

One of the leaders may be a firm that already has experience with Azadegan -- Japan's Inpex. With that company having operated the field between 2004 and 2010, before pulling out due to Japanese sanctions.

Inpex officials said the company is "gathering information" on the tender, as it considers a bid.

Whoever grabs this mega-field, the tender would be a big step forward for Iran's government. With President Hassan Rouhani having struggled to get the country's new petro contract model accepted by lawmakers -- but apparently now having support for the measure after his recent election win.

Oil minister Zanganeh said he hopes to have the Azadegan contract signed off by July. Watch over the coming weeks to see if the bid round gets done, and who the winner will be.

Here's to the journey beginning with a step,

By Dave Forest

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage



Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play