By an OGJ correspondent
NICOSIA, Jan.13 -- Iran's offshore Balal oil field came on stream, following a $310 million development program led by TotalFinaElf SA.
The 390 million bbl oil field began production from two completed wells at a rate of 20,000 b/d, with output expected to increase to 40,000 b/d by March 2004 when eight remaining wells come online.
Balal field is in water as deep as 70 m, some 100 km south of Lavan Island in the Persian Gulf, off Iran. A pipeline is planned to transport Balal's output to Lavan Island for export.
Balal oil field is being developed under a 3-year buy-back contract signed with Iran in 1999. The stakeholders are TotalFinaElf (operator, 46.75%), Italy's ENI SPA 38.25%, and Canada's Bow Valley Energy Ltd. 15%.
