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Iran turns on Azadegan taps



By Upstream staff 

The first of six exploration wells drilled in Iran's Azadegan oil field has become operational at a rate of 3000 barrels per day, a senior official at the state-owned National Iranian South Oil Company said over the weekend.

Iran had previously said it expected the six wells to eventually produce 20,000 bpd.

Iran's total production is currently about 3.9 million bpd.

"Previously six oil exploration wells were drilled and, by carrying out some work, the first well at a depth of 2770 metres and producing 3000 bpd has been put into production," the official said on the Oil Ministry's website.

"Within the next four months, five more wells will become operational ... It is forecast that in three phases of this field 300 oil wells will be drilled," the official added.

Azadegan, located in the southwestern province of Khuzestan, is Iran's biggest oilfield.

In-place reserves have been put at 26 billion barrels.

Japan's Inpex had been due to develop the field but talks collapsed in 2006, with the Japanese company citing spiralling investment costs.

Inpex retains a 10% stake.

India's Essar Group said in March it was in talks with Iran to take on the field's development but results have not been announced yet, Reuters said.


Monday, 09 July, 2007, 02:49 GMT  | last updated: Monday, 09 July, 2007, 03:01 GMT

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