Building a world of
resilient communities.



Another Major Iranian Energy Deal: $3B with India

State-run Indian Oil Corporation has entered into a $3 billion deal with Iran to develop a gas block in the enormous South Pars field, to build an LNG liquefaction plant and to sell the resulting product. This is the IOC’s largest non-Indian investment to date, and one of the largest single investments in South Pars.

Iran’s deal with IOC follows closely on the agreemenet with China for the development of the Yadevaran oilfield.

IOC will work with Iran’s Petropars in bringing to production one of the 30 phases planned to develop the 500-square mile South Pars field. Estimates peg the gas reserves at 436 trillion cubic feet. The LNG liquefaction plant will have a capacity of 9 million metric tons per year.

IOC will have a 40% stake in the upstream development with the remaining being Petropars’. IOC will have a 60% stake in the liquefaction plant, and the marketing rights to sell the entire 9 million metric tons of LNG.

Iran holds the world’s second largest reserves of natural gas—an estimated 940 trillion cubic feet—surpassed only by those in Russia. According to the US Energy Information Administration, around 62% of Iranian natural gas reserves are located in non-associated fields (i.e., not in conjunction with oilfields and oil production), and have not been developed, meaning that Iran has huge potential for gas development. South Pars is the largest non-associated field, and represents around 45% of Iran’s total gas reserves.

Development of South Pars is Iran’s largest energy project, having attracted around $15 billion in investment prior to this agreement with IOC. Some of the other energy companies involved include Total (France), Eni (Italy) and Statoil (Norway).

Editorial Notes: Original title on 'IOC's largest overseas investment'; title taken from . See Rediff page for map. -LJ

What do you think? Leave a comment below.

Sign up for regular Resilience bulletins direct to your email.

Take action!  

Find out more about Community Resilience. See our COMMUNITIES page
Start your own projects. See our RESOURCES page.
Help build resilience. DONATE NOW.


This is a community site and the discussion is moderated. The rules in brief: no personal abuse and no climate denial. Complete Guidelines.

Review: 7 key scenes in Leonardo DiCaprio’s climate film Before the Flood

Before the Flood, a new feature-length documentary presented and produced by …

Transition in Cities  

It is widely assumed that the ongoing migration of rural peoples to …

Peak Oil Review: A Midweek Update - 20th Oct 2016

 A midweek update. This week’s EIA stocks report gave a …

Oil & Money: Tackling Corruption and Climate Change

This week, senior executives of the oil and gas industry will be meeting at …

CCC: UK must Act Now to Secure Zero-Carbon Heat by 2050

UK heating must be virtually zero-carbon by 2050, says the Committee on …

Peak Oil Review - Oct 17, 2016

 A weekly roundup of peak oil news, including: -Quote of the week …

Deepwater Horizon and our emerging 'normal' catastrophes

We think of the world we live in as static and linear rather than dynamic …