Iran puts Balal oil field into operation
A $ 310 mm development program led by TotalFinaElf has put Iran's offshore Balal oil field into operation. The 390 mm barrel oil field began production from two completed wells at a rate of 20,000 bpd, with output expected to increase to 40,000 bpd by March 2004 when eight remaining wells come online.
The Balal field is in water as deep as 70 metres, some 100 km south of Lavan Island in the Persian Gulf, off Iran. A
pipeline is planned to transport Balal's output to Lavan Island for export.
Balal oil field is being developed under a 3-year buy-back contract signed with Iran in 1999. The stakeholders are TotalFinaElf (operator, 46.75 %), Italy's ENI 38.25 %, and Canada's Bow Valley Energy. 15 %.