A report published earlier this month revealed that nearly half of Iran’s national income is derived from oil fields jointly owned by Iran and its neighbors. Industry specialists maintain that because of the industry’s fundamental economic and political role both locally and internationally, it is crucial that special attention be paid to its development.
Foreign investments, including various joint oil projects and fields, are seen as a promising way to maintain Iran’s standing on the oil front, according to Sed-Ye-Edelat. Currently Iran shares the Southern Pars fields with Qatar; the field is considered the largest gas reserve in the world. Last year, revenues from Southern Pars stood at approximately $5.32 billion, in comparison to the total joint oil revenues received in 1997 which stood at $6.3 billion.
Overall nation income stood at $11.426 billion during the same year. Hence, more than half of the nation’s income was derived from joint oil fields. Unfortunately, these resources were neglected for nearly 15 years prior to 1997. Daily losses from the Southern Pars field alone during this period are estimated at $2 million, claims the study.
The report also stated that in 2000, petrochemical industry production amounted to about 11.8 million tons, while exports equaled 3.1 million tons. Iranian petrochemical production accounts for 0.74 percent of worldwide output and 6.1 percent of all oil exports. By 2005, production is expected to jump to 2.8 percent.
Apart from the Southern Pars joint oil field, Iran also holds the Salman field with Abu Dhabi; the Farsi field with Saudi Arabia; the Hengam field with Oman; the Gonbadli field with Turkmenistan; and the Dehloran, Paydar-e Gharb, and Nafshatar fields with Iraq. These fields are all at various stages of prospecting, exploration, and production. — (Mena Report)
© 2001 Mena Report (www.menareport.com)
