The National Iranian Oil Company (NIOC) and Pasargad Energy Development Company (PEDC) are to sign a contract for the integrated development project of Sepehr and Jofeir Fields. The two fields were discovered by digging the first well No. 1 Jofeir, Khuzestan Province, southwestern Iran in 1976. These fields are situated in the northeastern part of Abadan plain, 60 km southwest of the oil-rich city of Ahvaz.
The studies carried out by the relevant NIOC departments and its subsidiaries over the fields proved that given the structure of their reservoirs, they can be developed via an integrated development project in order to maximize their profitability.
Considering the policies of the Iranian Ministry of Petroleum and the National Iranian Oil Company (NIOC), and introduction of the newly-developed model of oil contracts (IPC), and approval and designation of the list of qualified Iranian exploration and production (E&P) companies in order to tap the potentialities of these companies and enhance their capabilities as E&P companies, NIOC has decided to entrust development and operation of some of the country's oil and gas fields, including Sepehr and Jofeir fields, to capable Iranian E&P companies as the main contractors (operators).
Accordingly, a memorandum of understanding (MoU) was signed on February 1 2017 between NIOC and Pasargad Energy Development Company for the latter to study Sepehr, Jofeir and Susangerd fields.
After submission of the results of the studies and presentation of the technical and financial model of the fields, and carrying out assessments of various dimensions of the project, NIOC endorsed the proposal of Pasargad Energy Development Company for developing Sepehr and Jofeir fields. Immediately, intensive contractual negotiations started between NIOC and PEDC on the basis of the new oil contracts (IPC). The negotiations concluded after an intensive period of talks between the two companies.
