Iran to Announce New Oil Reserve Discovery Soon

The National Iranian Oil Company (NIOC) announced that it will soon disclose further details on a newly discovered oilfield in the Southwestern province of Khuzestan, where the NIOC has already found a giant oil reserve that was declared in last month.

“Based on researches and reports, the site of another oil field similar to Namavaran will be identified in Khuzestan by the end of the year” on March 21, Director of NIOC’s Exploration Department Saleh Hendi said on Tuesday.

The discovery of Namavaran oil field was publicly disclosed last month by Iranian President Hassan Rouhani.

The Gurpi Formation is one of the most important lithostratigraphic units in the Zagros foreland basin because of its significance in the petroleum geology of Iran as the source rock.

Iranian officials have said the country is pressing ahead with its energy development plans despite intensified US sanctions which seek to cripple the country.

Hendi said on Tuesday NIOC had defined 12 projects in oil- and gas-bearing zones across the country. “Oil and gas is likely to be discovered in these 12 projects, of which five are in priority for implementation and seven others are under study,” he said.

Last December, Hendi said some 35-40 new hydrocarbon reservoirs had been discovered across Iran, which needed development. “We are now ranked first in the world for oil and gas reserves," he said.

Hendi also said Iran was scouring 60 percent of its total area for new oil and gas reserves, including in places which were deemed until recently the least likely to have hydrocarbon-bearing formations.

On Tuesday, he said Iran has enough oil and gas for the next 100 years.

Last month in Yazd, President Rouhani said the workers of the National Iranian Oil Company Exploration Directorate, after years of efforts, particularly since 3 years ago, had managed to discover a giant oil field.

“I inform the White House that, in the days that you have imposed sanctions on Iran’s oil exports, workers and engineers of the country have discovered 53 billion barrels of in-place oil reserves,” Rouhani added.

The announcement meant Iran’s proven crude oil reserves were boosted by a third. Right now, Iran says it has some 150 billion barrels of proven crude oil reserves.

He said the discovered field was located in Iran’s oil-rich Khuzestan province covering a 24,000 s/km area stretching from Bostan to Omidiyeh.

Iran's oil sector is facing US sanctions imposed in November 2018, including a pledge by President Donald Trump to bring the country's oil exports down to zero.

President Rouhani has said Iran cannot be shut out of global energy markets because of its vast oil and gas reserves.

Iranian officials have said the country’s energy development plans are on track, though at a slackened pace due to the sanctions.