Iran running oil, gas projects despite restrictions: Oil Minister

Iran’s Oil Minister Rostam Qasemi says the Islamic Republic is implementing all its oil and gas projects despite restrictions imposed on Iran.

In an address on Thursday to the inauguration ceremony of the largest associated petroleum gas (APG) plant in the Persian Gulf, built on the southern Iranian island of Siri, Qasemi said the development and completion of oil and gas fields projects were the main priority of Iran’s oil industry.

The plant in Siri, which went on stream on Thursday, will produce natural gas liquids (NGL), and when fully operational, it would on average collect 100 to 104 million cubic feet per day (mcfpd) of dry gas, thus preventing associated petroleum gas from being flared.

The NGL plant will also produce 1,500 barrels per day (bpd) of pentane, 4,000 bpd of butane, 1,400 bpd of gas condensate, and 8,000 bpd of propane.

Qasemi also stated that Iran planned to build NGL plants in the southern coastal provinces to prevent “40 million cubic meters of gas mixed with oil” from going to waste.

Qasemi said in spite of sanctions imposed by 27 member countries of the European Union, some Asian and European states have expressed readiness to purchase condensate and natural gas liquids produced in Siri.

On October 15, 2012, the European Union announced a package of sanctions against Iran, which focuses on Iranian banks, trade, and gas exports.

In addition, the US Senate approved new sanctions against Iran’s energy, port, shipping, and shipbuilding sectors on November 30, 2012, in a bid to mount economic pressure on the Islamic Republic.

The illegal US-engineered sanctions have been imposed based on the false allegation that Iran is pursuing non-civilian objectives in its nuclear energy program.

Iran rejects the allegation and argues that as a committed signatory to the Non-Proliferation Treaty and a member of the International Atomic Energy Agency, it has the right to use nuclear technology for peaceful purposes.