Royal Dutch Shell and Spains Repsol are being to sign a 4.3 $ billion deal to construct an LNG plant and port terminal in south pars gas field in a country which has the worlds second largest natural gas reserves in the world .
Trade Arabia repoted: a preliminary deal would be signed in days for an LNG plant and port terminal in South Pars gas field. The LNG plant would cost about $2.5 billion and the port terminal and other infrastructure would cost about $1.8 billion, the constructions operation is expected to be started at the of 2007 or the beginning of 2008 and the export - if the project went ahead -could start in 2011 or 2012. Despite of the U.S. pressures on international companies to make them not to invest in Iran, Shell and Repsol have noticeable interest in Investment in Iranian market and projects. About European Companies Investment EFE Spanish news agency also reported on Saturday : Argentinean-Spanish company Respol signed an initial deal worth 4.3 $ billion to extract natural gas in Iran and also to produce liquefied natural gas (LNG) in collaboration with Royal Dutch Shell and National Iranian Oil Company(NIOC) from the South Pars gas field. This contract makes Respol committed to invest in South Pars gas field. The project is able to produce 1.8 million tones per year and it is expected to start its production in 2011. Under the deal, Shell and Repsol would each take a 25 percent stake in the project and 50 present is Iranian Oil Company’s share, super-cooled natural gas that can be transported on tankers. According to EFE Respol and Shell are going to sell 4 million tones of the first consignment and the rest is on Parsi Liquid Gas Company to sell. The consortium is going to sell the produced gas to Indian, European and Far Eastern- Chinese, Japanese, Korean and Taiwanese – customers and the consortium has contacted Pakistani, Korean, Japanese and Chinese companies which are willing to purchase Iranian gas.
