Iran keeps links to Chinese energy companies

China still welcome in Iran, oil minister says.
By Daniel J. Graeber   |   May 6, 2014 at 10:21 AM   |   Comments

| License Photo
TEHRAN, May 6 (UPI) -- Chinese companies are still welcome in Iran's energy sector, but those not meeting their obligations are a source of frustration, the oil minister said Tuesday.

Iranian Oil Minister Bijan Zanganeh last week said a contract with China National Petroleum Corp. for development of the South Azadegan oil field was torn up because the company wasn't meeting Iran's expectations at a field said to hold more than 40 billion barrels of oil.

The minister said Tuesday there was a continued interest with working with Chinese companies, though the government was so far not happy with their performance.

"[The] ministry has by no means any intention of removing Chinese companies and investors from [Iran’s] petroleum industry, but Iran has ended its cooperation with the Chinese firms that have not fulfilled their obligations in some projects," he said.

CNPC was given a contract from the Iranian government to develop the oil field straddling the border with Iraq in 2009. Chinese companies, including CNPC, are working with Iran on development of the South Pars gas field in the Persian Gulf.

Follow @dan_graeber and @UPI on Twitter.
Contact the Author
© 2014 United Press International, Inc. All Rights Reserved. Any reproduction, republication, redistribution and/or modification of any UPI content is expressly prohibited without UPI's prior written consent.
Recommended UPI Stories
Featured UPI Collection
Celebrity Couples of 2014 [PHOTOS]

Celebrity Couples of 2014 [PHOTOS]

Most Popular
Twinkies' Chicago facility to close
Texas, N.D. oil push imports down
Australia orders Supacat special operations vehicles
Meggitt selected for live-fire range systems
Only 1 in 5 insurers cover volcanic ash
Trending News