Assalouyeh, Locomotive Of Growth

ASSALOUYEH, Bushehr, April 16--President Mohammad Khatami said on Saturday the oil and gas region of Assalouyeh has turned into the heart of Iran’s economy, appreciating efforts by domestic and foreign companies to develop energy projects in the southern area, ISNA reported.

Speaking at the inaugural ceremony of phases IV and V of the huge development project for the world’s largest gas field, Khatami said job creation, technology transfer and introduction of modern management systems are amongst the greatest achievements of these projects.

He expressed hope that his government would help determine the future course of the remaining 20 phases.

Terming natural gas as a God-given asset, the chief executive said hydrocarbon resources must be used to advance economic development.

After inaugurating the two phases, the president and his entourage inspected the facilities.

Two phases of South Pars are aimed at daily production of 50 million cubic meters of natural gas, 80,000 barrels of gas condensate, 400 tons of sulfur and one million tons of ethane as the feedstock for Jam Petrochemical Plant, as well as for exporting 1.05 million tons of liquid gases a year.

Buyback projects for the development of these phases were launched in August 2000 by the National Iranian Oil Company in partnership with Italy’s Eni (60 percent stake), Petropars (20 percent) and Nikou Company (30 percent).

These projects involved construction of two giant submersible platforms and sea jackets, drilling 13 out of 24 wells, laying 32-inch marine pipelines stretching over 100 kilometers and production of 56-inch pipelines for transferring gas from Kangan refinery over 67 kilometers.

These projects also featured construction of 142 thermal converters and pressure equipment, construction and installation of desalination facilities, manufacture of cables and precision instruments, production of different kinds of industrial paints, design and implementation of civil operations and construction of two-layer tankers, first-ever maintenance of LPGs and installation of steel structures in the refinery.

More than 17,000 personnel were involved in the three-year project for construction of onshore and offshore refineries which has raised Iran’s share of extraction from South Pars gas field which is also shared by Qatar.
Transfer of technical know-how and promotion of the expertise of Iranian workers as well as increasing Iran’s share of spare parts production and offering related services are among other achievements of these projects.
South Pars gas field contains more than 8 percent of the world’s and more than half of Iran’s gas reserves.