Iran to Produce Oil From World’s Largest Gas Field

[Aramagedon]

Iran To Produce Oil From World’s Largest Gas Field

Iran plans to start producing oil from the vast South Pars project – the world’s largest gas field – according to the country’s official news agency.

The Islamic Republic News Agency (IRNA) is reporting that South Pars oil layers project manager, Ali-Reza Zeighami, has said that wells currently being drilled in the South Pars oil layer will come on stream during the second half of calendar year 2016 (which in Iran begins in March).

According to Zeighami, so far seven wells have been spudded in the oil layer of South Pars, which is located in the Persian Gulf and is operated jointly by Iran and Qatar. In a report published on Shana, the Iranian oil ministry website, he states, ‘In the first phase, 20,000 to 35,000 barrels of oil are forecast to be recovered from the oil layer of South Pars.’ New rigs are currently being transferred to the field in order to obtain more accurate hydrocarbon reserve estimates. IRNA is reporting that South Pars could hold as many as 7 billion barrels of oil.

The International Energy Agency estimates that South Pars/North Dome holds 1,800 trillion cubic feet (51 trillion cubic metres) of in-situ natural gas and 50 billion barrels (7.9 billion cubic metres) of natural gas condensates.

Shana is also reporting that the National Iranian South Oil Company (NISOC), which is a subsidiary of the National Iranian Oil Company (NIOC) and is responsible for 83% of the country’s output, plans to increase its production to 3 million bpd this year (to March 2016).