|Iran to sell stock futures to fund oil projects||
TEHRAN - The National Iranian Oil Company will offer stock futures to the public during December 22, 2012-January 1, 2013, ISNA reported.
In the first phase, up to 5 million barrels of oil will be sold in the form of stock futures, valued at $500 million.
The three-year papers can be repurchased in cash or in kind at due date based on price of the day.
Selling stock futures is regarded as a new method for financing the oil industry projects, particularly aimed at investing in the development of joint oil and gas fields.
The NIOC will start the public offering of oil futures stock in the form of 10-barrels-of-oil bills according to the permissions of the Central Bank and the parliament (Majlis).
According to the permission of the Majlis as per the budget bill for the current Iranian calendar year, as well as based on the stipulation of the fifth five-year national development plan, the National Iranian Oil Company is allowed to sell Islamic sukuk to meet requirements for investing in the oil industry projects.
Offering stock futures to the public is among the ways of selling Islamic sukuk. According to the Fars News Agency, the Majlis has authorized the National Iranian Oil Company to sell €5 billion in bonds with the goal of investing in oil and gas fields, especially in joint fields.
The stocks will be available both in rials and dollars. If the price of each barrel of oil is considered to be $100 in 2011, the public and the private sector entities can buy the stocks and sell them to the government in 2015. The lowest and the highest prices of oil in 2015 have been considered to be $140 and $160, respectively.
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