Iran says to refund Total when phase 11 of South Pars gas project operational
(Reuters) - Iran will reimburse French oil and gas major Total for its investment in the South Pars natural gas field but not until phase 11 of the multibillion-dollar project becomes operational, Iranian Oil Minister Bijan Zanganeh said.
Total signed a contract in 2017 to develop phase 11 of the field with an initial investment of $1 billion, but it pulled out of the project in late August after failing to obtain a waiver from reinstated U.S. sanctions on Tehran.
“Total is not supposed to pay a sum as a penalty to Iran, but the money that this company has invested in phase 11 of South Pars until now will not be reimbursed until the time of operation and production,” Zanganeh was quoted as saying by SHANA, the news site of the oil ministry.
In May, when Total said it would pull out of the project unless it secured a sanctions waiver, the company said it had so far spent less than 40 million euros on the project and withdrawing would not impact its production growth targets. (Reporting by Babak Dehghanpisheh Editing by Helen Popper)
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GasPro 2.0: A Webcast Symposium
The global LNG industry is becoming increasingly interconnected as grassroots export projects get off the ground. Another technology route for processing gas into fuels—GTL—is attracting renewed attention due to improving economics. Small-scale solutions for both LNG and GTL are at the forefront of new technological developments, while major projects using more conventional technologies continue to start up around the world.
During this webcast, we will focus on LNG, GTL, gas processing technology developments and deployments, operations, small-scale solutions, transportation, trading, distribution, safety, regulatory affairs, business analysis and more.
October 25, 2018 08:30 AM CDT