PARIS Nov 8 French oil major Total
confirmed on Tuesday a preliminary deal with Iran whereby Total
would develop the phase 11 part of the South Pars gas field
along with the National Iranian Oil Company (NIOC).
Total said it would operate the SP11 project with a 50.1
percent stake in it.
Petropars, a subsidiary of the National Iranian Oil Company,
would have a 19.9 percent stake while Chinese state-owned oil
and gas company CNPC would have a 30 percent stake.
The South Pars 11 project will have a production capacity of
1.8 billion cubic feet per day, or 370 000 barrels of oil
equivalent per day. The produced gas will be fed into Iran's gas
"This project fits with the group's strategy of expanding
its presence in the Middle East, where the origins of the group
lie, and growing its gas portfolio by adding low unit cost, long
plateau gas assets," Total Chairman and Chief Executive Patrick
Pouyanne said in a statement.
(Reporting by Sudip Kar-Gupta, Editing by Dominique Vidalon)