Total Seeking to Buy Stake in Iranian LNG Project
French oil giant Total held talks with Iranian
officials about several projects in the country in 2016, notably
a 10 million tonnes per year liquefied natural gas project (LNG),
It has signed an agreement with Iranian authorities for a 50 per
cent stake in Iran's South Pars gas field project which will
developed at an investment of $4 billion.
Sources told Reuters in February that Total was in talks to buy a
multi-billion dollar stake in Iran's partly-built LNG export
Total signed a preliminary deal for the South Pars project last
year, becoming the first Western oil major to sign an energy
agreement after the European Union and the United States eased
sanctions against Iran.
In a filing to the US Securities and Exchange Commission, Total
said the South Pars 11 project would require investment of about
$4 billion, with the French firm financing 50.1 percent with
equity contributions and payments in non-US currency.
Total said in its filing that it discussed other projects with
Iranian officials in 2016 and carried out technical reviews,
including for investment in a 10 million ton-per-year liquefied
natural gas (LNG) plant at Tombak on the Persian Gulf coast.
In February, sources said Total was in talks to buy a stake in
the partly-built LNG plant at the port.
The French firm also said in its filing that it discussed plans
to invest in the South Azadegan oil field.
Total said it resumed trading with Iran in February 2016, and
bought about 50 million barrels of crude for about $1.9 billion
last year, most of it to supply its refineries.
Mar 18, 2017