MEOG: Iran boosts smaller fields

This week’s MEOG looks at Iranian efforts to increase output from two long-standing, smaller oilfields as part of a wider effort to increase production.

National Iranian Oil Co. (NIOC) subsidiaries said that new wells had been launched at the Danan oilfield with a contract signed for the expansion of Masjid Soleyman, the region’s oldest field.

Ramin Hatami, CEO of the Iranian Central Oil Fields Co. (ICOFC), disclosed that three new wells have come online at Danan since late February, adding 5,000 barrels per day (bpd) to the asset’s capacity under an 11-well drilling programme intended to maintain and increase the field’s productivity.

The official said that another well is expected to come on stream within the next week, noting that the additional output is sourced from the Sarvak layer of the field’s Bangestan reservoir.

Meanwhile, Petroleum Engineering and Development Co. (PEDEC) CEO Abuzar Sharifi announced that NIOC had signed a memorandum of understanding (MoU) for the Masjid Soleyman’s second phase of development.

He added that the MoU was signed between NIOC and Sina Energy Gostar Holding, noting that technical negotiations have begun for the preparation of a delivery programme and operation plan (DPOP), with a “new model” of oil contract to be awarded.

Masjid Soleyman was discovered in 1908 and was the first successful exploration well in the Middle East. Since then, Iran has discovered around more than 300 oil and gas reservoirs across more around 150 fields.

The field’s first development phase was completed by state-owned China National Petroleum Corp. (CNPC).