By Sara Israfilbayova
Russia is ready to invest $50 billion in the Iranian oil and gas sector, RIA Novosti reported.
Iranian Supreme Leader’s Adviser Ali Akbar Velayati stated it after a meeting with Russian President Vladimir Putin
“The readiness that Mr. Putin announced during the meeting is to expand the oil ties between the two countries and increase investments in the oil and gas industry of our country to $50 billion,” he said.
Velayati also noted that this is quite a large amount, which can be a good substitute for European companies that refused to work with Iran.
Iran has huge reserves of oil and gas and its proved reserves for 2017 are 137.6 billion barrels of oil and 27.6 trillion cubic meters of natural gas.
The country ranks first and fourth in the world for gas and oil reserves, respectively.
After the lifting of sanctions, Iran increased oil exports three-fold, compared with the sanctions period, by signing several short-term contracts with European oil companies. The extraction of gas after the lifting of sanctions exceeded 178 billion cubic meters meters and in the largest oil and gas field, South Pars has grown to 132 billion cubic meters.
By 2019, the production capacity in South Pars will grow from the current 260 billion cubic meters per year to about 390 billion cubic meters meters.
Prior to the introduction of international sanctions against Iran, the Islamic Republic produced oil in the amount of over 4 million barrels per day.
Sara Israfilbayova is AzerNews’ staff journalist, follow her on Twitter: @Sara_999Is
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