Reuters: CNPC ready to redeem a share in Total South Pars project in Iran

TASS, may 11. China national petroleum Corporation CNPC is willing to buy out the French company Total in Iran’s South Pars, if Total out of the project due to US sanctions on the nuclear deal with Iran, reported Reuters.

A consortium of oil companies, where France’s Total owns 50,1%, China’s CNPC and 30% and Iran’s Petropars – 19,9%, and Iran in July signed a contract to develop the 11th phase (section) of the field. According to Reuters, the agreement provides an option for CNPC to buy a stake in Total if she will be released from the transaction.

“Now the possibility of release of Total high enough in this scenario, CNPC is ready to get things under control,” the Agency said a government official familiar with the details of the transaction. Under the terms of the contract, the Chinese petroleum Corporation could increase its share to 50.1% and become the main operator of the field development project.

South Pars is the world’s largest gas field. Its reserves are estimated at 13.8 trillion cubic meters. Iran since the end of last century, is a phased development of this field by dividing the entire area into 28 phases.