Saturday, January 07, 2012

Iran: Oil Minister - We are in economic war conditions


Bushehr, Jan 7, IRNA – Enemies have waged economic war against Islamic Republic of Iran, Oil Minister Rostam Ghasemi said here on Friday.

He made the remarks in a meeting with the local officials in Kharg Oil Terminal.
“Kharg Island is the forefront of Iran’s economy, therefore its staffs have big responsibility,” Ghasemi added.

The oil minister noted that “Iran's oil industry needs a new outlook to witness big developments in the near future; Tehran is to sign new agreements for the exploitation of oil from oilfields, particularly in the joint oil fields, the execution of recent agreements can bring big changes and prepare the ground for the use of joint oilfields in full capacity.”

More than 90 percent of Iran's crude oil is exported via Kharg Island in the northern border of the Persian Gulf. Due to the geographical position of Kharg Island in the Persian Gulf, Iran's crude oil is carried to destination without pumping it into oil carriers' tanks.

The eastern platform of Kharg is situated 1,100 meters from the island's coast that is around 1,840 meters long and 40 meters wide. Its western platform located 1,455 meters from the island's coast allows three vessels -- weighing 200,000-500,000 tons -- to berth at it. crude oil is transferred from oil fields in Gachsaran and Ahvaz (Omidieh) into the oil tanks of the terminal, which are pumped into oil tankers.

Kharg Island is a continental island in the Persian Gulf belonging to Iran. The island is located 25 km (16 mi) off the coast of Iran and 483 km (300 mi) northwest of the Strait of Hormuz. Administered by the adjacent coastal Bushehr Province, Kharg Island provides a sea port for the export of oil and extends Iranian territorial sea claims into the Persian Gulf oil fields.

Heavy bombing of the Kharg Island facilities from 1982 through 1986 by the air forces of the government of Iraq during the Iraq imposed war against IRI destroyed most of the terminal facilities. Kharg Island was situated in the middle of the Darius Oilfield, also destroyed by the intensive bombing.

In 2010, Iran was the second-largest exporter among the Organization of Petroleum Exporting Countries.

Following the Iran–Iraq War, Iran maximized exports of oil and accelerated economic growth. From 1979 until 1998, Iran did not sign any oil agreements with foreign oil companies. Later on, in years between 1997 and 2004 Iran invested more than US dollars 40 billion in expanding the capacity of existing oil fields and discovering and exploring new fields and deposits.