Iran's energy sector review

The Pakistani Federal Cabinet's final approval of the Iran-Pakistan gas pipeline construction on Wednesday is a long step towards realising an Iranian gas supply to its eastern neighbour, but not necessarily against the TAPI pipeline with Turkmen origin gas. Looking at the facts that Iran's gas trade balance is negative, its new gas extraction projects have faced long delays and also the rate of gas consumption in the country is faster than the gas production rate, it seems that buying gas from Iran is more beneficial for Pakistan. Firstly, the gas delivery was scheduled for 2015. Iranian giant South Pars gas field has five phases including 12, 15, 16, 17 and 18 and with an above 70 per cent progress would come on stream in next few years. The amount of Iran's first stage gas delivery has been set at only 7.8 bcm per year. This volume equals to one South Pars phase's production level. On the other hand the costs of construction on the Iran-Pak Pipeline (Peac...

The total extraction volume of Iran's neighbours in the Persian Gulf from the joint oil and gas fields is currently nine times more than Tehran's share, the Majlis Research Centre reports. Iran shares 28 oil and gas fields with neighbouring countries, including a disputed joint oilfield with Iraq. In the Persian Gulf region, Iran has 15 joint oil and gas fields with the United Arab Emirates, Saudi Arabia, Qatar, Oman and Kuwait. United Arab Emirates extracts 136,000 bpd of oil from seven joint fields, while Iran only extracts 56,000 barrels daily. Saudi Arabia also extracts 450,000 barrels of oil from the four joint fields, while Iran's produces a daily 42,000 barrels. Iran's main problem is the giant South Pars gas field. This is the world's biggest gas field shared between Iran and Qatar with above 28 trillion cubic meters of gas reserves. Doha's gas pump currently is two times more than Iran and is extracting crude oil from this field's ...