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Iran NIOC Seeks To Develop Second LNG Export Proj - MEES

October 16, 2000, SINGAPORE -(Dow Jones)- The National Iranian Oil Co. is in talks with international petroleum companies, with a view to building a second liquified natural gas export project in the country, the Middle East Economic Survey reported Monday.

Ahmad Rahgozar, vice-president of NIOC, said that NIOC expects to produce 15 million metric tons a year of LNG from its South Pars Phase 11 and Phase 12 developments. The South Pars project is the country's first LNG export project. Rahgozar was speaking at a gas industry briefing in Doha, Iran , Oct. 9.

Rahgozar is proposing building two twin-train LNG plants, each with a capacity to produce 7 million to 8 million tons/year, at Assaluyeh, where the onshore gas processing infrastructure is being built to handle South Pars gas.

The company expects to produce its first LNG cargo in 2005.

NIOC have opened a tender aimed at international companies and is seeking one international company or consortium to develop the two newly-proposed LNG plants.

"We are in discussion with 10 different potential participants so far, " Rahgozar said, adding that TotalFina Elf S.A. (TOT), BP Amoco PLC (BP), the Royal Dutch/Shell Group (RD), BG Group PLC (BRG) and Gaz de France (F.GAF) were some of those included. "Some of the companies have said they are interested in developing the whole 15 million tons/year."


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