Progress of Pipe-building Deal with Tubacex Satisfactory

The CEO of the National Iranian Oil Company (NIOC) said the implementation of a contract with Spain’s Tubacex for providing CRA pipelines is “satisfactory”, adding removing production bottlenecks of the project is under way for technology transfer to Iran.

Following a meeting with the CEO of Tubacex on the sidelines of the Iran Oil and Gas Show in Tehran on Tuesday, Ali Kardor said that the Spanish company has so far delivered 50 kilometers of the pipeline to NIOC, adding the preliminaries of the transfer of the pipes’ construction technology to Isfahan Steel Company [Foolad Isfahan Company], Tubacex’s Iranian partner, are being prepared.

In May 2017, the National Iranian Oil Company (NIOC) signed Iran’s first oil contract of the post-sanctions era with an international consortium of Spain’s Tubacex and Iran’s Foolad Isfahan Company.

Based on the US$615 million deal, the Spanish-Iranian consortium will provide oil pipes for a network of 600 kilometers over three years.

The pipes will be produced using Japan’s JFE Steel Corporation technology, and the know-how will eventually be transferred to Iran.