TEHRAN – Iranian Oil Minister Javad Oji has said 64 new and semi-completed oil industry projects with a total investment of $14.5 billion are going to be completed and go operational throughout the country by the end of the current Iranian calendar year (March 19, 2024).

“Despite the harsh conditions and problems created by the sanctions, including the difficulties related to financing or the provision of some sensitive and complex equipment, the Oil Ministry has not neglected investment in this strategic industry which is the driving force of the national economy,” the minister told Shana on Saturday.

Oji said the executive operations for 15 new projects worth $14.3 billion will also begin in the current year.

“Investment in the oil industry must be pursued without interruption, and as I have said many times before, the oil industry needs large investments, and we must not forget that the return of these investments in the oil industry for the national economy is much higher than other economic sectors,” he noted.

Referring to the 15.4 percent economic growth of the oil sector in the fall of the previous Iranian calendar year, which has practically shouldered an important part of the country's economic growth, the official said: “An important part of the positive economic growth last year was due to the growth of the oil sector, the lack of investment in this sector will definitely lead to the slowdown of economic growth and create important challenges, and for this reason, all the responsible institutions in the country should facilitate investment in this sector.”

Back in January, the head of the National Iranian Oil Company (NIOC) said his company was planning to increase the country’s oil production capacity to 5.7 million barrels per day (bpd) from the current 3.8 million bpd in eight years.

In this regard, Iran’s Resistance Economy Headquarters approved 16 special projects for the development of the oil and gas industry’s value chain in late January.

EF/MA