Iran tackling drilling on disputed Caspian field
Iran plans to drill an exploratory well on the Alov
oil field in the Caspian Sea. Ownership of the field has been
disputed with Azerbaijan for many years.
The operations are a preliminary step for the construction of the Iran-Alborz semi-submersible drilling rig, the Tehran Times newspaper quoted Oil Minister Gholam-Hossein Nozari as saying.
The Iranian minister mentioned the dispute over ownership of Alov in his statement. Speaking in Tehran on Saturday, he said issues related to the Caspian Sea legal protocols -- which the five littoral states still have not finalized -- have been taken into consideration and there is no problem in this regard. Thus, noted observers, Nozari indirectly maintained that the field belongs to Iran.
Two Iranian companies are conducting feasibility studies for the exploratory well project, he added.
The Alov field was discovered by Azerbaijani geologists. The government of Azerbaijan signed a production sharing agreement with foreign energy companies in mid-1998 to tap the field. However, neighboring Iran did not allow the operations to proceed. The ship being used for exploratory work at the site had to withdraw from the area in July 2001 after interference by the country`s navy. The disputed field has been at a standstill since then.
Azerbaijani MP Ali Masimli raised the issue of Iran`s embarking on exploratory drilling during a parliamentary session last week. Though he sought a clarification on the matter, the parliamentary leadership appeared to have left the question unanswered.
Azerbaijan, Russia and Kazakhstan signed an agreement in 2001 on the delineation of the Caspian`s northern part into national sectors, with Azerbaijan and Russia possessing 19% each, while Kazakhstan would control 29%. It remains to finalize the legal status issue with the other two coastal nations - Iran and Turkmenistan. Tehran supports equal division, saying each coastal state is to receive 20% of the seabed.
Proven reserves in the Caspian are estimated to be 15-29 billion barrels of oil, while an additional 100 billion barrels may exist, according to the Tehran Times.
The operations are a preliminary step for the construction of the Iran-Alborz semi-submersible drilling rig, the Tehran Times newspaper quoted Oil Minister Gholam-Hossein Nozari as saying.
The Iranian minister mentioned the dispute over ownership of Alov in his statement. Speaking in Tehran on Saturday, he said issues related to the Caspian Sea legal protocols -- which the five littoral states still have not finalized -- have been taken into consideration and there is no problem in this regard. Thus, noted observers, Nozari indirectly maintained that the field belongs to Iran.
Two Iranian companies are conducting feasibility studies for the exploratory well project, he added.
The Alov field was discovered by Azerbaijani geologists. The government of Azerbaijan signed a production sharing agreement with foreign energy companies in mid-1998 to tap the field. However, neighboring Iran did not allow the operations to proceed. The ship being used for exploratory work at the site had to withdraw from the area in July 2001 after interference by the country`s navy. The disputed field has been at a standstill since then.
Azerbaijani MP Ali Masimli raised the issue of Iran`s embarking on exploratory drilling during a parliamentary session last week. Though he sought a clarification on the matter, the parliamentary leadership appeared to have left the question unanswered.
Azerbaijan, Russia and Kazakhstan signed an agreement in 2001 on the delineation of the Caspian`s northern part into national sectors, with Azerbaijan and Russia possessing 19% each, while Kazakhstan would control 29%. It remains to finalize the legal status issue with the other two coastal nations - Iran and Turkmenistan. Tehran supports equal division, saying each coastal state is to receive 20% of the seabed.
Proven reserves in the Caspian are estimated to be 15-29 billion barrels of oil, while an additional 100 billion barrels may exist, according to the Tehran Times.
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