Iran Gas Production, Exports Rise

EghtesadOnline: Gas exports rose by 622 million cubic meters in fiscal 2018-2019 compared to the corresponding period last year.

News ID: ۷۴۷۴۸۹

08 June 2019

Data released by the National Iranian Gas Company news portal shows 38.6 mcm of gas was exported to neighboring states on a daily basis, the Persian-language economic newspaper Donya-e-Eqtesad reported.

NIGC said of this volume 22 mcm was bought by Turkey.

Iraq, Azerbaijan, Armenia and Nakhchivan Autonomous Republic accounted for 13 mcm, 1.5 mcm, 1.4 mcm and 700,000 cubic meters respectively, Financial Tribune reported.

The state gas company said close to 14 billion cubic meters of natural gas was sold in 2018 -- up 5% compared to the year ago.

It noted that no gas was imported from Turkmenistan in the period. The Central Asian state unilaterally halted natural gas supplies in 2016 in violation of the terms of a contract with Iran. It jacked up gas prices nine-fold to $360 per 1,000 cubic meters from $40.

South Pars Gas Complex in the Persian Gulf produced 179 bcm of natural gas in 2017 – up 17.6% compared to previous year.

Of this volume 65 bcm was delivered to power plants, up 40% compared to 2013 when the amount was 38 bcm.

There are 84 big power stations in the country, two of which (Chabahar and Konarak) in Sistan-Baluchestan Province are not connected to the national gas grid.

Key industries like cement and steel bought 45 bcm of gas in 2017.

Iran (34 trillion cubic meters) and Russia (32.6 tcm) hold the largest proven gas reserves in the world, according to BP Statistical Review of World Energy.

Surveys on hydrocarbon fields show that the country's recoverable natural gas reserves have risen by 283 billion cubic meters.

Gas Condensates

According to Hadi Hashemzadeh Farhang, managing director of SPGC, local companies produced 250 million barrels of gas condensates in 2018.

"Output showed 5% or 9 million barrel growth in 2018 compared to the previous year when production reached  237 million," he said, adding that SPGC accounts for 67% and 92% of total domestic natural gas and gas condensate output respectively.

Over 650,000 barrels of gas condensate per day is sold to the Persian Gulf Star Refinery in Hormozgan Province and Nouri Petrochemical Complex in southern Bushehr Province as feedstock.

"The share of fossil fuel in the national energy basket is 74% of which 50% is produced by SPGC.”

The official went on to say that South Pars accounts for 96% of liquefied petroleum gas, 100% of ethane and 55% of sulfur production.

Data for 2018 shows a rise in output of a variety of byproducts, namely ethane (42%), LPG (35%) and sulfur (35%), compared to the year before.

South Pars, the world's largest gas field shared between Iran and Qatar was developed in 24 phases of which 22 phases are operating and phase 14 is being completed.