Wednesday, 11 August 2010
Iranian government issues $500 million in bonds to develop South Pars gas field
Head of Pars Oil and Gas Company (POGC), Ali Vakili, has said that the Iranian government has issued $500 million in bonds to finance the development of South Pars gas field.
“POGC has received the required permit from Iran's central bank to issue some $3 billion in bonds during the current Iranian calendar year to finance the South Pars gas project,” said Vakili.
The first installment of participation bonds is expected to be offered sometime in August through Iran's Sederat Bank. The South Pars gas field is co-owned by Iran and Qatar. Iran's share of the field is said to contain reserves of about 14 trillion m³ of gas, which accounts for about eight per cent of the total world gas reserves.
Vakili has said that investment in the South Pars gas field has increased by 120 per cent, which he attributed to the issuance of € 3 billion in foreign currency bonds, and $3 billion in national participation bonds. He also said that during the month of July investment in South Pars surpassed $11 billion.
“Due to accurate planning, this year there will be no problem with regard to funding the South Pars project,” Vakili added.
Source: Tehran Times
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