Iran’s Arvandan sign agreement to develop oil field

Tehran: Arvandan Oil & Gas Co, an affiliate of National Iranian Oil Co, signed a $135 million contract with Iranian Offshore Engineering and Construction Co to develop the Arvand oil field in the southwest, the Oil Ministry said.

The field is projected to produce 5,000 barrels of crude a day in the early production stage and as much as 20,000 barrels after the completion of the first phase, according to a report published yesterday by the Oil Ministry’s news agency, Shana, citing Ahmad Qalebani, managing director of state-owned National Iranian Oil.

The Arvand oil field, which has recoverable oil reserves of 150 million barrels a day, has an estimated 500 million to one billion barrels in reserves and will be developed within 18 months, the report said.