Iran eyes stake in Orinoco Belt and Gulf of Venezuela
by MARIANNA PARRAGA
Iran, Venezuela delegates met in Caracas to refine bilateral pacts
Some 200 delegates are to attend the 141st extraordinary ministerial meeting of the Organization of Petroleum Exporting Countries (OPEC) in Caracas as of June 1st. Venezuela is to seize the opportunity to review agreements
Iran and Venezuela delegations taking part in the 141st extraordinary ministerial meeting of the Organization of Petroleum Exporting Countries (OPEC) met on Tuesday to refine a number of bilateral agreements, including the participation of Iranian state oil firm Petropars in heavy crude Orinoco Belt and gas projects in the Gulf of Venezuela.
Eulogio Del Pino, a director of Venezuelan state oil holding Pdvsa and CEO of the Venezuelan Petroleum Corporation (CVP) -an affiliate of Pdvsa-, informed that one of the areas where both Venezuela and Iran have a common interest is Block Ayacucho 7 in Orinoco Oil Belt, southeast Venezuela. Pdvsa and Petropars have already assessed reserves in this area. "We are very pleased at the results in this block, as the assessment was completed in a record time," Del Pino said.
He added that once quantification and certification of reserves are completed in Block Ayacucho 7, Petropars and Pdvsa are likely to undertake joint exploration of one of the areas in Orinoco Oil Belt with a view to take crude oil to an upgrading plant, thus allowing Petropars to export finished fuel from Venezuela. As an appetizer for this agreement, Iran agreed to import two Venezuelan fuel shipments.
A second project Venezuela and Iran discussed on Tuesday was the possibility for Petropars to start drilling Block Cardón II in the Gulf of Venezuela. This area was demarcated under the gas exploitation project Rafael Urdaneta, but no bidding process related to this block has been launched because seismic surveys have not been completed. "We want to capitalize Iranian expertise in off-shore drilling," CVP CEO stressed.
He explained that Pdvsa deems it more profitable to leave exploration in private hands -reserves in Cardón II are estimated at three trillion cubic feet of gas. Once reserves are certified, the Energy and Petroleum Ministry is to select the right methodology to grant this block.
Del Pino indicated that works for a gas pipeline linking Venezuela and Colombia -which are scheduled to start in July- are to supplement exploration in Cardón II. He suggested that gas drilled from this block could be delivered through the gas pipeline within five years, when the gas pipeline flow is to be reversed and Venezuela is to start exporting gas to Colombia.
A controversial relationship
Del Pino would not elaborate on the issues Iran and Venezuela addressed, amidst controversies related to Iran nuclear program. However, he did assert Iranian experts are to arrive in Venezuela to support Caracas' engineering projects.
"Iran has an extraordinary installed capacity in oil, gas, and petrochemical industry. Therefore, we have executed technological advisory agreements in several fields. There is a letter of understanding we initialed last year and there are alliances between several Iranian and Venezuelan firms. Venezuelan businesspeople are scheduled to visit Iran to learn about their facilities," he added.
The Iranian delegation taking part in the 141st extraordinary ministerial meeting of the Organization of Petroleum Exporting Countries arrived in Caracas on Monday. The group is headed by Petroleum minister Sayed Kazem VaziriHmaneh, Iranian governor for OPEC Hassein Kazempour Ardebili, Iranian representative to OPEC Javad Yarjeni.
Iván Orellana, Venezuelan governor for OPEC, underscored the importance of the Iranian presence at this meeting. "We are going to address geopolitical issues related to the world oil markets, besides cooperation issues regarding bilateral partnerships," Orellana declared.
Translated by Maryflor Suárez R.
Iran, Venezuela delegates met in Caracas to refine bilateral pacts
Some 200 delegates are to attend the 141st extraordinary ministerial meeting of the Organization of Petroleum Exporting Countries (OPEC) in Caracas as of June 1st. Venezuela is to seize the opportunity to review agreements
Iran and Venezuela delegations taking part in the 141st extraordinary ministerial meeting of the Organization of Petroleum Exporting Countries (OPEC) met on Tuesday to refine a number of bilateral agreements, including the participation of Iranian state oil firm Petropars in heavy crude Orinoco Belt and gas projects in the Gulf of Venezuela.
Eulogio Del Pino, a director of Venezuelan state oil holding Pdvsa and CEO of the Venezuelan Petroleum Corporation (CVP) -an affiliate of Pdvsa-, informed that one of the areas where both Venezuela and Iran have a common interest is Block Ayacucho 7 in Orinoco Oil Belt, southeast Venezuela. Pdvsa and Petropars have already assessed reserves in this area. "We are very pleased at the results in this block, as the assessment was completed in a record time," Del Pino said.
He added that once quantification and certification of reserves are completed in Block Ayacucho 7, Petropars and Pdvsa are likely to undertake joint exploration of one of the areas in Orinoco Oil Belt with a view to take crude oil to an upgrading plant, thus allowing Petropars to export finished fuel from Venezuela. As an appetizer for this agreement, Iran agreed to import two Venezuelan fuel shipments.
A second project Venezuela and Iran discussed on Tuesday was the possibility for Petropars to start drilling Block Cardón II in the Gulf of Venezuela. This area was demarcated under the gas exploitation project Rafael Urdaneta, but no bidding process related to this block has been launched because seismic surveys have not been completed. "We want to capitalize Iranian expertise in off-shore drilling," CVP CEO stressed.
He explained that Pdvsa deems it more profitable to leave exploration in private hands -reserves in Cardón II are estimated at three trillion cubic feet of gas. Once reserves are certified, the Energy and Petroleum Ministry is to select the right methodology to grant this block.
Del Pino indicated that works for a gas pipeline linking Venezuela and Colombia -which are scheduled to start in July- are to supplement exploration in Cardón II. He suggested that gas drilled from this block could be delivered through the gas pipeline within five years, when the gas pipeline flow is to be reversed and Venezuela is to start exporting gas to Colombia.
A controversial relationship
Del Pino would not elaborate on the issues Iran and Venezuela addressed, amidst controversies related to Iran nuclear program. However, he did assert Iranian experts are to arrive in Venezuela to support Caracas' engineering projects.
"Iran has an extraordinary installed capacity in oil, gas, and petrochemical industry. Therefore, we have executed technological advisory agreements in several fields. There is a letter of understanding we initialed last year and there are alliances between several Iranian and Venezuelan firms. Venezuelan businesspeople are scheduled to visit Iran to learn about their facilities," he added.
The Iranian delegation taking part in the 141st extraordinary ministerial meeting of the Organization of Petroleum Exporting Countries arrived in Caracas on Monday. The group is headed by Petroleum minister Sayed Kazem VaziriHmaneh, Iranian governor for OPEC Hassein Kazempour Ardebili, Iranian representative to OPEC Javad Yarjeni.
Iván Orellana, Venezuelan governor for OPEC, underscored the importance of the Iranian presence at this meeting. "We are going to address geopolitical issues related to the world oil markets, besides cooperation issues regarding bilateral partnerships," Orellana declared.
Translated by Maryflor Suárez R.
posted by Alice at
Thursday, June 01, 2006
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