Vietnam to invest in Iranian oilfield

A Vietnamese company is to invest $1.2 billion in the development project of Darkhovin oilfield, says the managing director of Iran’s Petroleum Engineering and Development Company.

Naji Sa’douni said Saturday that PetroVietnam (Vietnam Oil and Gas Group) would sign a $1.2-billion contract to develop the third phase of Darkhovin oilfield, Mehr news agency reported.

“So far, negotiations have been carried out with five domestic and foreign firms for the contract. The contract for the phase three of the project will be ceded to a consortium consisting of some local companies and PetroVietnam within the next couple of months,” he further explained.

The Iranian official added that the first two phases of the project are now operational and the oilfield produces 160,000 barrels of oil per day.

He went on to say that once the third phase of the project comes on stream, over 80,000 barrels of oil per day will be added to the national oil production capacity.

The first Phase of the project became operational in 2005, and the second phase came on stream earlier in February. Over $1.3 billion was invested in the second phase of the oilfield.

Based on initial estimates, the crude production capacity of the oilfield will increase to 250,000 barrels per day within the next five years.

Darkhovin oilfield was discovered in 1965. The in-place oil reserve of the oilfield has been estimated at over five billion barrels.

Tags: Darkhovin oilfield