Volume. 11869

Iran says wants oil majors to revive ageing oilfields
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VIENNA  (Reuters) - Iran's leading oil negotiator says Tehran wants Western oil companies to revive its giant ageing oilfields and develop new oil and gas projects once sanctions are lifted.
Mehdi Hosseini, in charge of revising Iran's oil investment contract, told Reuters that oil companies will find it hard to pass up Iran's "low cost, low risk" investment opportunities that will be offered on more attractive commercial terms due to be revealed in early April at an energy conference in London.
"We will have many promising projects for the international oil companies," said Hosseini, Iranian Oil Minister Bijan Zanganeh's former deputy. "Brown fields, green fields and exploration blocks - in both oil and gas."
Hosseini, said international oil companies (IOCs) could play a role in rehabilitating ageing onshore oilfields of Ahwaz, Gachsaran and Marun - the backbone of Iran's production - as well as Agha Jari and Bibi Hakimeh - more modest, onshore producers. 
"We need technology and investment from the IOCs to help reverse the depletion of these oilfields," he told Reuters by telephone from Tehran.
Zanganeh and other top Iranian officials say the revival of these and other fields will allow the country to raise production to 4 million bpd within six months of sanctions being lifted. Western experts are more conservative, saying 3 million to 3.5 million bpd is more likely.
Hosseini, a veteran negotiator reappointed under the new reformist presidency of Hassann Rouhani, is widely respected by Western oilmen and will lead the effort to craft an investment contract that is more attractive than the service contract model Baghdad used to lure the world's top oil companies.
"Our new contract model is going to be better than Iraq's and it will be very competitive in the region," he said.

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