TEHRAN (Iran News) Bord outlined two key technological strategies driving NIOC’s efforts: leveraging cutting-edge technology and utilizing artificial intelligence (AI) to stay ahead of challenges. “We’ve devised several programs based on these strategies,” he said, highlighting AI’s role in reservoir management as a flagship initiative. He revealed that a recent meeting with an Iranian expert has sparked collaborations in this domain.

Bord noted that NIOC has launched pilot projects using AI for enhanced oil recovery and drilling operations. “In a neighboring country, AI has boosted production by 10% across 25% of its fields,” he cited as an example of the technology’s potential. He also called on knowledge-based firms to join efforts to increase output, with the 400,000-barrel target set for next summer.

The NIOC chief reported significant progress over the past six months, stating, “We’ve achieved strong figures in both production and exports.” He added that gas production records were broken multiple times during the 14th government, peaking at 1.115 billion cubic meters. However, he expressed concern over soaring gas consumption, describing it as rising “relentlessly.” Despite the capacity to produce one billion cubic meters—a substantial figure—demand continues to outpace supply.

Under the Seventh Development Plan, NIOC aims to elevate gas production to 1.35 billion cubic meters, but Bord cautioned that even this target may not resolve the supply-demand imbalance. “Current consumption has already reached the level we’ve set as our goal,” he explained.

Bord highlighted NIOC’s push toward digitalization and smart technologies, with implementation expected soon. Over the past six months, the company held more than 15 meetings with technologists, elites, and young talent, yielding promising results from its research and engineering divisions. He invited experts and tech firms to submit proposals, announcing an upcoming formal call for collaboration with knowledge-based companies.

Addressing challenges, Bord noted that while many tech firms offer valuable innovations, operational execution often falters. To bridge this gap, NIOC plans to oversee the deployment of these technologies in oil fields and operational labs. He also emphasized improving recovery rates, pointing out that southern Iran’s fields average a 25% extraction rate— a figure that could rise with technological advancements.

Bord underscored the need for broader industry-tech collaboration, welcoming any ideas that could enhance efficiency. He revealed an ongoing partnership with an Austrian university to adopt state-of-the-art technologies. “Beyond smart machinery management, we need new innovations to boost productivity and support the economy,” he said, crediting NIOC staff for strong oil and gas output despite sanctions and undisclosed challenges over the past six months.

Iran’s oil exports have also remained robust during this period, Bord added, signaling a positive outlook as the country pursues its production goals.

End of Report

The post Iran Plans to Boost Oil Production by 400,000 Barrels by Next Summer appeared first on Iran News Daily.

Analysts have said the higher Iranian exports appear to be the result of Iran’s success in evading U.S. sanctions and Washington’s discretion in enforcing them, the survey found on Monday.

As reported, OPEC oil output rose for a second straight month in September, the survey showed, led by increases in Nigeria and Iran despite ongoing cuts by Saudi Arabia and other members of the wider OPEC+ alliance to support the market.

Last month, the Organization of the Petroleum Exporting Countries pumped 27.73 million bpd, the survey found, up 120,000 bpd from August. Production in August had risen for the first time since February.

The rise in September was led by Nigeria, which has been battling with crude theft and insecurity in its oil-producing region. Iran, which has been boosting supply despite U.S. sanctions, also pumped more, with output hitting the highest level since 2018.

Iraq and the United Arab Emirates increased output slightly, while Angolan supply showed the largest decline in the group of 50,000 bpd due to a drop in exports.

OPEC’s output is still undershooting the targeted amount by about 700,000 bpd, mainly because Nigeria and Angola lack the capacity to pump as much as their agreed level.

The Reuters survey aims to track supply to the market. It is based on shipping data provided by external sources, Refinitiv Eikon flows data, information from companies that track flows such as Petro-Logistics and Kpler, and information provided by sources at oil companies, OPEC and consultants.

The post Iranian oil production hits 2018 high of 3.15m bpd: survey appeared first on Iran News Daily.

Speaking in a ceremony on Tuesday, Khojaseh-Mehr emphasized that the time and increase of productivity in drilling is very important in the economy of this project, adding that currently in the issue of drilling, they face with 14 challenges in the field of increasing the duration of drilling.

He added that at the beginning of the current government it was decided all plans and decisians are implemented in the shortest time, adding that some achievements of today like doubling the oil export is because of those decisions at the beginning of the job.

He reiterated that 20 months ago Iran’s oil exports had fallen to less than 300,000 barrels per day and some 80m barrels of gas condensates were waiting on the water in the Persian Gulf and it was getting to be oil industry’s Achilles’ Heel. He noted that the solution of the previous government was to increase rented oil tankers with annual cost of $450m and for three years all oil gas condensates products had been restoring on the bunkers on the water.

Khojasteh-Mehr went on to say that the ministry doubled the oil exports in the toughest condition and under sanctions and the government could compensate its budget deficit by selling oil and getting back the oil money.

He termed revival of energy diplomacy was the secret of NIOC in the field of oil export last year comparing to the preceding year which saw 79% growth and it shows the power and authority of the oil industry.

He said that at the beginning of the current year the oil production capacity of the country was 2.2m barrels but now it has reached 3.1m barrels per day, adding that 86% of the joint oil fields of Iran are in the working range of Arvandan Oil and Gas Company and today the oil product from those fields is ratio of one to three.

Khojasteh-Mehr further said that in recent months they have witnessed signing of many domestic and international MoUs and contracts in the oil industry, adding that soon the development project of South Pars Phase 11 will soon start, admitting that this issue has been delayed for 20 years .

He stated that the exploitable oil reserves of Iran is around 160b barrels, adding that for increasing oil and gas production, the country should have a compiled and systematic plan.

The post Revival of Oil Production Capacity by 1.5m Barrels in Only 6 Months appeared first on Iran News Daily.

Speaking on the sidelines of the ceremony for developing the Azadegan oil field, Bijan Zangeneh stated that despite imposed sanctions on financial, technological, and equipment, enormous steps had been taken in Iran’s oil fields, one of which was West Karun oil field reaching from 70,000 to 400,000 barrels per day.

Zanganeh noted that the main points to consider for oil increase were management and technology.

“Fortunately, imposed sanctions have made Iranian companies attend in oil trading at foreign markets,” he pointed.

He said entrusting oil revenue to private sectors could create a big difference.

Zangeneh added that the oil increase could make the country independent, underlining that the oil revenues were not just to pay salary or subsidies.

With 1,500 square kilometers, located near the Iraqi border and about 80 kilometers west of Ahvaz, the Azadegan oil field is the largest joint oil field in Iran.

The in-place oil reserves of this field are estimated at 32 billion barrels. The field is shared with Iraq’s Majnoon field.

The ceremony was held on Monday by the Iranian Minister of Oil Bijan Zangeneh and the National Iranian Oil Company CEO for signing three documents between NIOC and 5 Iranian exploration and production firms on May 31, 2021.

Understanding the study’s memoranda for developing the Azadegan oil field was inked between the National Iranian Oil Company and Iranian exploration and production companies.

In a ceremony attended by the Oil Minister Zangeneh and the National Iranian Oil Company CEO on Monday, study agreements for the development of the Azadegan joint field were signed between the National Iranian Oil Company and five Iranian exploration and production companies.

During the ceremony, the executive operation of the gas production maintenance plan of Homa, Varavi, and Tabnak fields in the area of the Central Iranian Oil Company commenced by establishing a connection with the project site in the south of Fars Province.

Homa, Varavi, and Tabnak fields in the Parsian operational area of the South Zagros Oil and Gas Exploitation Company are located near the cities of Parsian, Lamerd, Khan, and Mohr.

The post Iran to Increase Oil Production to 6.5 mb/d appeared first on Iran News Daily.

The post No Halt in Iran’s Oil Output amid Pandemic: Minister appeared first on Iran News Daily.

The post Sponge Iron Output Rises 11% in 4 Months appeared first on Iran News Daily.

The post Iran Complying with OPEC+ Quotas appeared first on Iran News Daily.

According To Iran News, The United States is on track to cut 1.7 million barrels of oil production per day, according to Reuters calculations of state and company data shared on Thursday.

It was US President Donald Trump that suggested at the beginning of April, prior to the most recent OPEC deal signing that the United States would cut its oil output as a natural response to the worsening market conditions. The statement was not initially good enough for OPEC, who wanted more of a commitment from the world’s largest producer and consumer of crude oil, Oil Price reported.

“Well, I think it’s automatic. Because they’re already cutting. I mean, if you look, they’re cutting back. Because it’s… it’s market. It’s demand. It’s supply and demand. They’re already cutting back, and they’re cutting back very seriously,” US President Trump said at a press briefing early last month.

OPEC+ eventually agreed to cut production by 9.7 million bpd—a landmark figure that is significantly larger than previous OPEC cuts in recent years. Its non-OPEC allies who partnered with OPEC in the deal pledged to cut an additional 10 million bpd.

US Energy Secretary said last month that the DoE expected that production in the United States would fall by between two and three million bpd by the end of the year—it appears the cuts have come even quicker than the department expected.

The need for the production cuts grew more evident as the United States shut down nearly all activity in an attempt to flatten that curve of infections that sought to overwhelm the country’s healthcare system. Doing so, however, has idled much of the economy and crippled demand—and as such, its oil and gas industry that fuels that economy.

The cuts from US producers may seek to quiet the disgruntlement of OPEC and Russia, in particular, who expressed their displeasure that the US would not require its producers to curb production. After all, the US shale industry has benefited greatly from previous rounds of OPEC cuts.

The post US Oil Companies Cutting Production Faster Than Expected appeared first on Iran News Daily.

The post Esfahan Refinery to increase Euro-5 diesel production appeared first on Iran News Daily.

US benchmark West Texas Intermediate made small gains in Asian afternoon trade to $20.05 per barrel at one point. It had slipped below the $20 mark Wednesday and hit its lowest price in 18 years.

International benchmark Brent crude, which also suffered heavy losses a day earlier, rose half a percent to trade at $28.12 a barrel.

Prices have crashed as the coronavirus pandemic saps global oil demand, with the situation compounded by a supply glut resulting from a price war between OPEC cartel kingpin Saudi Arabia and non-OPEC rival Russia.

A compromise hammered out at the weekend by Riyadh, Moscow and other crude producers to slash output by around 10 million barrels per day briefly boosted prices but the rally soon fizzled out.

Investors fear the agreement does not go far enough to offset massive demand losses, as storage capacity around the world shrinks because of the glut.

Adding to traders’ worries, the International Energy Agency said Wednesday that 2020 was likely to be “the worst year in the history” of the sector.

For 2020 overall, demand will fall by 9.3 million barrels per day (mbd), with April alone down 29 mbd from a year earlier to levels last seen in 1995, the IEA said in its latest monthly report.

Stephen Innes, chief global markets strategist at AxiCorp, however, said that the market had found some support in Asian trade Thursday as it was “leaning towards a combination of deeper OPEC+ cuts and a more assured response from the G20 producers to avoid a further collapse in oil”.

The post Oil low on demand, warning situation appeared first on Iran News Daily.