Eric Watkins
Senior Correspondent
LOS ANGELES, Jan. 30 -- Iran reported the completion of a preliminary $10 billion deal with Repsol YPF SA and Royal Dutch Shell PLC to produce 16 million tonnes/year of LNG from Iran's South Pars field.
Investment in the upstream section of the project will total $4.3 billion, while the downstream section, which includes the construction of LNG units, will cost $5-6 billion.
National Iranian Oil Co. head Gholam-Hossein Nozari said a final investment decision, with each foreign company taking a 25% share of Phases 13 and 14 of South Pars, would not be made until yearend.
Meanwhile, Nozari said, the project will include production of 3 bcfd of gas and its transfer to an onshore processing facility at Site 2 of the Pars Special Energy Zone, 50 km west of Asaluyeh.
Contact Eric Watkins at [email protected].
