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Oil minister says Iran to launch over 40 new projects worth $30bn by year-end
Iran’s Oil Minister Javad Owji on May 16 announced that his ministry plans to launch more than 40 projects worth $30bn by year-end.
The minister, who spoke on the sidelines of the 26th International Oil, Gas, Refining and Petrochemical Exhibition in Tehran, told reporters: “We will mainly rely on domestic companies for supplying equipment for the projects.”
He described the annual exhibition, aka the Iran Oil Show, as one of the largest and most prestigious oil and gas events in the world, saying more than 1,200 domestic and foreign companies have participated in the occasion this. A great number of contracts and memoranda of understanding (MoUs) have been signed at the exhibition, said Owji.
Also at the exhibition, the managing director of National Oil Company of Iran (NIOC) said his company was set to award the development of the Azadegan oil field to a consortium of domestic companies.
“Following the NIOC’s comprehensive programs for the development of joint fields and the maximum use of the capabilities of Iranian companies, the second phase of North Azadegan field’s development project and the ongoing project of South Azadegan will be awarded to a consortium comprised of exploration and production companies under a $7.5bn contract,” Mohsen Khojasteh-Mehr said.
“So, the final contract is not an exclusive deal and we do not intend to award the field to just one or two companies, but it will be awarded to all of them,” he added.
Meanwhile, the director of the National Iranian South Oil Company (NISOC) said his company was planning on increasing production capacity at oilfields in the south of the country to 3.3mn barrels of day (b/d), oil ministry-owned news agency Shana reported.
Alireza Daneshi put NISOC’s current oil production capacity at 3mn b/d, adding that the 300,000 b/d increase would be realised within five years.
9.1.2 Automotive sector news
Output of Iran’s top three automakers falls 3.7% in last Persian year
Iran reversal of ban on foreign car imports ‘mysteriously stalls’, leaving consumers with ‘death wagons’
Iran’s top three automakers—Iran Khodro Corporation (IKCO), SAIPA Group, and Pars Khodro—made 867,363 vehicles in the last Persian calendar year (ended March 20), marking a decline of 3.7% y/y, IRNA has reported, citing data from the Securities and Exchange Organization’s Codal information service.
IKCO’s output reportedly fell 6% to 451,121 vehicles (including 297,817 Peugeot cars, 50,095 Samand, 50,257 Dena and 35,630 Rana), while SAIPA’s volume decline 3.4% to 304,533 vehicles and Pars Khodro’s production total dropped 6.4% to 109,838 vehicles.
The Industry, Mining and Trade Ministry’s auto manufacturing target for last year was 1.2mn units.
In January, Industry, Mining and Trade Minister Reza Fatemi-Amin said that this year would see the structure of the country of 84mn’s automobile industry and relations between parts manufacturers and automakers reformed in order to boost production.
An initiative to reverse a longstanding Iranian ban on the import of foreign cars to meet surging customer needs has mysteriously stalled, RFE/RL reported on April 17.
The situation leaves consumers faced with buying vehicles from a domestic automaking industry accused of rampant corruption and putting "death wagons" on the road, the media outlet reported.
Focusing on domestic automaking was part of Tehran's efforts to develop a
52 IRAN Country Report July 2022 www.intellinews.com