TABNAK, Nov, 24 : Oil Minister Mohsen Paknejad said on Saturday that Iran will finalize contracts for pressure-boosting in South Pars until the end of the current calendar year in late March.
South Pars is responsible for more than 70% of Iran’s total gas production. The field covers 40 offshore drilling rigs, hundreds of wells, and thousands of kilometers of underwater pipelines in 28 phases.
The state-run Pars Oil and Gas Company, which is in charge of production operations in South Pars, said earlier this month that daily output from the field had reached a record of 711 million cubic meters (mcm).
However, expert reports suggest there could be a major drop in production in the South Pars within the next few years because of the declining pressure in the field.
“The declining pressure in South Pars is one the main concerns of the country’s petroleum industry. The issue is so serious that experts have repeatedly warned about it,” Paknejad told the state TV.
He said that Iran could face a gas shortage of more than 450 mcm per day in 2031 if it does not boost pressure in South Pars.
The remarks come amid growing demand for natural gas in Iran’s household sector, which has caused authorities to restrict power plant supply, leading to brief power cuts in large cities.
The Oil Ministry said last week that daily production from Phase 11 of South Pars had increased from 15 mcm to 18 mcm, saying output would soon increase to 20 mcm per day.
