EPC tender for Pars LNG expected by end of this year

Vol 9, PW 20 (26 Jan 06) News in Brief

Significant progress is reported from the 10m t/y proposed Pars LNG export project in Iran, despite the growing possibility of UN sanctions against Tehran.

PETROWATCH learns that partners Total (40%), Petronas (10%) and National Iranian Oil Company (50%) plan to take a Final Investment Decision on the project towards the end of this year followed immediately by a tender for the EPC contract. Technip is presently doing the Front End Engineering Design.

Construction will begin when the Final Investment Decision is made, we hear. If construction begins in 2006 the project could be ready by 2010.

Pars LNG will have to use European natural gas liquefaction technology because US sanctions prevent the sale of American technology to Iran. LNG from Pars LNG will be available for markets in Asia, Europe and the Far East.

India is also an option, we hear, if it is ready to pay market prices.