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Новости // News worldwide

First IPCs to Be Granted in Months

12 июля 2016 г., 13:04Neftegaz.RU623

Iran expects the first awards of a much-awaited new format of its oil sector contracts to happen within the next 3-4 months, Irans deputy petroleum minister for international affairs on July 12, 2016, stated.

Amir Hossein Zamaninia has said that the new format of contracts – known as Iran Petroleum Contract (IPC) – will be finalized with the next two months. 
He said the priority for the country as per the upcoming IPC awards will be the development of joint fields. The official also emphasized that a special attention will be paid in the new contracts on increasing the recovery rate of the fields.
The IPC – which was introduced to international investors in 2015 – is replacing buyback deals. Under a buyback deal, the host government agrees to pay the contractor an agreed price for all volumes of hydrocarbons the contractor produces.
But under the IPC, NIOC will set up joint ventures for crude oil and gas production with international companies which will be paid with a share of the output.
Under the IPC, different stages of exploration, development and production will be offered to contractors as an integrated package, with the emphasis laid on enhanced and improved recovery.
Iran’s Petroleum Minister, Bijan Zanganeh had earlier announced that the country needs as much as $200 billion in investments to revamp its oil industry.  He emphasized that the bulk of the new investments are planned to be attracted through IPCs.


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