Iranian companies sign Development contract of joint oilfield with Iraq

Tehran, July 11, IRNA – Iranian companies on Saturday signed contract for development of Yaran joint oil field with Iraq. The National Oil Company and Persia Oil and Gas Industry Development Company signed the contract to develop Iranian share of Majnoon joint oilfield with Iraq. North Yaran oil field is located in Khuzestan Province, approximately 130 kilometers west of the provincial capital city of Ahvaz and close to Iran-Iraq border. When the first phase of the field’s development is over, it will produce 30,000 bpd of crude oil with a gravity between 16 and 18. The signing ceremony of the contract for Yaran joint oil field development project was held in presence of Iranian Petroleum Minister Bijan Zanganeh, and Managing Director of the National Iranian Oil Company (NIOC) Masoud Karbasyan. This contract aims to achieve an additional output of about 39.5 million barrels over the next 10 years with estimated direct and indirect capital costs of $ 294 million and operating costs of the facility during the contract period (including baseline and surplus production) of $ 236 million.