TEHRAN – Iran's top engineering and energy enterprise MAPNA Group signed a deal with National Iranian Oil Company (NIOC) on Saturday for the development of Parsi and Paranj oil fields in the southwestern province of Khuzestan.

Based on the deal, MAPNA Group is in charge of the maintenance, and improving the fields’ recovery factor and boosting their production levels, Shana reported.

The document was signed by Ahmad Mohammadi, the managing director of National Iranian South Oil Company (NISOC), which is a subsidiary of NIOC, and Managing Director of MAPNA Group Abbas Aliabadi in the presence of the Iranian Oil Minister Bijan Namdar Zanganeh.

The duration of the contract, which is valued at about $1.38 billion, is 10 years and it is aimed at increasing the daily production of Parsi and Parang fields from the current 52,000 barrels to 85,000 barrels.

Speaking in the signing ceremony, Zanganeh stressed the importance of such projects in generating revenue for the country, saying that fulfilling this contract is going to add a total of 121 million barrels of oil to the county’s oil production and brings the country over $6 billion of revenues.

In addition to creating wealth for the country, this project will be an opportunity for a stronger presence of the private sector in oil and gas development projects, in order to benefit from their potentials and capabilities, Zanganeh said.

Parsi oil field, located 130 kilometers northeast of Ahvaz (the capital city of southwestern Khuzestan province), holds more than 10 billion barrels of crude oil in place, while Paranj, nearby Parsi, holds 1.6 billion barrels of in-place reserves. 

MAPNA is involved in a range of projects, including oil and gas fields development, onshore and offshore drilling services, construction of downstream processing units, auxiliary facilities, utility and storage tanks, as well as the design and manufacture of equipment such as turbo-compressors for pipelines, refineries, and processing units.

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Photo: Ahmad Mohammadi (R), the managing director of National Iranian South Oil Company (NISOC), exchanging signed deal documents with Managing Director of MAPNA Group Abbas Aliabadi (L) in the presence of Iranian Oil Minister Bijan Namdar Zanganeh (2nd L), in Tehran on Saturday.