Redevelopment plan in Iran should lift oil production

Calcutta News.Net
Saturday 16th July, 2011

The Iranian government plans to invest nearly $18 billion in oil fields in the south of the country.

The Iranian Oil Ministry has said the money has been put aside in order to pay for production of as many as 3 million barrels per day from the area.

The $18 billion has been described as part of a five-year redevelopment plan for the country, with plans being made to accelerate development of shared oil and gas fields.

Iran's National Oil Co. and China's Sinopec intend beginning production at the Yadavaran oil field in the south later this year to increase production from around 20,000 bpd this year to 85,000 bpd within the next two years.

China is currently the biggest purchaser of Iranian crude oil.

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