South Pars LNG Terminal

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South Pars LNG Terminal was a proposed offshore LNG terminal in Iran's South Pars gas field, in the Persian Gulf. There have been no development updates in over four years, and the project is presumed to be cancelled as of 2022.

Location

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Project Details

• Owner: National Iranian Oil Company (NICO-100.00%)
• Parent: National Iranian Oil Company (NICO-100.00%)
• Location: South Pars gas field
• Coordinates: 26.619125, 52.067964 (approximate)
• Type: Export
• Trains: 2
• Capacity: 10 mtpa (5 mtpa per train)
• Status: Cancelled
• Start Year: Note: mtpa = million tonnes per year; bcfd = billion cubic feet per day

Background

The Pars LNG Terminal was a proposed LNG terminal in Iran's South Pars gas field.

There have been no development updates in over four years, and the project is presumed to be cancelled as of 2022.

South Pars/North Field

Iran and Qatar own the South Pars/North Field, the world's largest natural gas field. This field plays a central role in Qatar and Iran foreign and domestic policy.

Iran's South Pars gas field is one of the biggest gas fields in the world. Its development was stalled by years of Western sanctions beginning in 1979. The public justification for the sanctions was Iran's bid for nuclear weapons. Economic sanctions delayed Iran's oil and gas technological development substantially. The Qatar side of the field could export LNG by ship, while Iran remains unable to. As of 2017, Iran lacked the capability to freeze its natural gas into LNG in order to load onto tanker ships for export. Iran aimed to increase gas output to 1 trillion cubic meters by 2018. In 2012, before sanctions, its output was at 160.5 billion cubic meters.

In 2017 the French Owned Total signed a 20-year contract with the National Iranian Oil Company to develop phase 11 of South Pars. It become the first major Western oil company to sign an energy agreement with Iran's sanctions eased.