The Deputy Oil Minister Mohsen Khojasteh-Mehr today told reporters in Tehran that the country requires at least 150 billion dollars in new investment in the next five years to maintain its current levels of production. Without such investment, the minister warned, Iran’s oil production may fall to 2.7 million barrels per day (bpd) within the five-year period.
“The national oil company plans to invest 150 billion dollars during the fifth development plan,” said Khojasteh-Mehr. (The fifth development plan ends in 2015.)
“If the investments are not realized, the country's oil output will drop to 2.7 million bpd," Khojasteh-Mehr added [IRNA, 30 May].
Iran’s current production is 3.7 million bpd, with more than 2 millions bpd exported. If the production levels falls to 2.7 bpd, the exports will have to be cut in half. However, an investment of $150 billion could actually increase the total production by nearly 1 million bpd. The deputy oil minister did not reveal possible sources for any new investment. The international sanctions against new foreign investments in the oil industry in recent years have severely limited the national oil company’s programs.