Going it alone: Iran may drop OMV from South Pars project
OMV prepared to ditch Pars place
Austrian player OMV has resisted Iranian pressure to push ahead with investment in phase 12 of the South Pars project, with a company executive saying the company is prepared to be dropped as a partner rather than be forced to pump money into the development now.
"On and off they say: 'You should start here by such and such date'. Then we say: 'Wait and see until the oil price recovers'," Helmut Langanger, OMV's exploration and production boss, told Reuters in an interview.
"If they wanted, they could replace us ... they are proceeding with the project on their own without us and they don't get hampered by us," he added.
In April 2007, OMV signed a memorandum of understanding with the National Iranian Oil Company that envisaged OMV taking part in Phase 12 of the giant South Pars gas development as well as in a liquefied natural gas plant associated with the phase.
However, western investment in Iran's oil and gas industry has stalled following pressure from the US and European governments who fear Iran is trying to build nuclear weapons.
Iran says its nuclear programme is aimed towards electricity generation only.