India loses Iranian gas field discovered by OVL

New Delhi, May 17

India on Monday lost the ONGC Videsh Ltd (OVL)-discovered Farzad-B gas field in the Persian Gulf after Iran awarded a contract for developing the giant gas field to a local company.

“The National Iranian Oil Company has signed a contract worth $1.78 billion with Petropars Group for the development of Farzad B Gas Field in the Persian Gulf,” the Iranian oil ministry’s official news service reported. “The deal was signed on Monday, May 17, in a ceremony held in the presence of Iranian Minister of Petroleum Bijan Zangeneh in Tehran.” The field holds 23 trillion cubic feet of in-place gas reserves, of which about 60% is recoverable. It also holds gas condensates of about 5,000 barrels per billion cubic feet of gas.

The buyback contract signed on Monday envisages daily production of 28 million cubic meters of sour gas over five years, Shana said.

OVL, the overseas arm of ONGC, had in 2008 discovered a giant gas field in the Farsi offshore block. — PTI