Addressing a ceremony to sign a contract by the NIOC and Persia Oil and Gas Industry Development Company in Tehran on Saturday, Karbasian said the deal was the 6th one under the new oil contract model which is for 10 years and in addition to achieving a cumulative production of 39.5 million barrels of crude oil in the field, will also bring good revenue for the government and the contractor.
He estimated the cost of investing in the project at roughly $300 million, and said that this figure would be provided by the contractor.
Karbasian pointed to the Iranian Oil Minister Bijan Zageneh's emphasis on determining the fate of all joint fields by the end of the Rouhani administration, and said, "This priority is being pursued despite sanctions, financial problems and the Coronavirus crisis, and this goal will be achieved by the end of the administration."
North Yaran oilfield is located in Khuzestan province, nearly 130 kilometers West of the provincial capital, Ahvaz, close to Iran-Iraq border.
Once the first development phase is over, the field will produce 30,000 bpd of crude oil with a gravity of 16-18.
This contract aims at achieving an extra output of around 39.5 million barrels over the next 10 years with estimated direct and indirect capital costs of $294 million and operating costs of the facility during the contract period of $236 million.