Japan and Europe are the only ones getting in on the action of the world's second largest UNTAPPED reserves.
USD2bn Iran, Japan oil deal
Iran and Japan have inked a USD2bn deal to develop the southern half of the Azedegan oil field, one of the largest untapped fields in the world. Japex, Inpex and Tomen will develop the field in one of the biggest international deals since the Iranian revolution in 1979.
http://www.ameinfo.com/news/Detailed/35049.htmlJapan, Iran sign two-billion-dollar oil deal despite US concern
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TOKYO (AFP) - Japan said it had signed a two-billion-dollar deal with Iran to develop the massive Azadegan oilfield in order to assure stable oil supplies despite the US expressing "deep concern" over the deal.
A Japanese trade ministry official said the two sides signed an agreement early Thursday on the development of the Azedegan field in southwestern Iran after months of negotiations and repeated warnings from Washington that it was unhappy with the prospects of such an accord.
Ever since the 1973 oil crisis, Japan, which imports nearly all of its oil needs, has developed its own diplomacy with key oil producers in the Middle East, often putting it at odds with the United States, especially over Iran, dubbed part of an 'axis of evil' by President George W. Bush.
The National Iranian Oil Company (NIOC), Inpex Corp. of Japan and a NIOC unit, Naftiran Intertrade Co. Ltd. (NICO), said in a joint statement they "signed the contract for the integrated appraisal and development operations of Azadegan field."
The Japanese government said it hoped the deal would lead to stable energy supplies and promote stronger ties between the two countries.
Inpex will hold 75 percent of the project and NICO 25 percent, with initial production set at 50,000 barrels per day (bpd) within 40 months, rising to 150,000 bpd after 52 months and 260,000 bpd in eight years.
The contract lasts 12-and-a-half years, with Inpex expected to recover its investment in six-and-a-half years.
Production is expected to start some time in 2007...
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