Total SA has “officially left” Iran under threat of US sanctions, according to the Islamic Republic’s oil minister.
Radio Free Europe/Radio Liberty said the minister, Bijan Namdar Zangeneh, told state television the French company had withdrawn from its contract for Phase 11 development of South Pars natural gas field (SP11).
Total earlier this year said it could not remain in the project if sanctions against companies doing business in Iran were not waived. The US began renewing sanctions this month in connection with its May 8 withdrawal from the Joint Comprehensive Plan of Action in Iranian nuclear development (OGJ Online, May 16, 2018).
Sanctions on Iranian oil exports and banking are to be reinstated on Nov. 4.
Planned SP11 production capacity is 400,000 boe/d of natural gas and condensate.
Total had a 50.1% interest in the project with partners China National Petroleum Corp., 30%, and Petropars, 19.9%.