TEHRAN – The deal with France’s Total and China’s state-owned National Petroleum Corporation (CNPC) for developing phase 11 of Iran’s South Pars gas field is still unchanged, Shana reported on Saturday quoting a senior oil official.

“The role of the members of the consortium to develop this phase of the field (in the Persian Gulf) is still in accordance with the provisions of the contract, and there is no formal change in these provisions,” Mohammad Mostafavi, director of investment at National Iranian Oil Company (NIOC), said.

The official further noted that CNPC is capable of taking over Total’s stake in South Pars gas field project if the French company leaves to avoid possible U.S. sanctions.
“In case of any changes in the terms of the contract, the necessary information will be announced”, Mostafavi added.

Total signed a contract in 2017 to develop Phase 11 of South Pars field with an initial investment of $1 billion, marking the first major Western energy investment in the country after sanctions were lifted in 2016. South Pars has the world’s biggest natural gas reserves ever found in one place.

But the French company had said it would pull out unless it secured a U.S. sanctions waiver, and Gholamreza Manouchehri, deputy head of NIOC, said in June that if Total were to walk away, then CNPC would take over.

EF/MA