Iran cancels CNPC contract for Azadegan oilfield
Iran has terminated China National Petroleum Corporation’s (CNPC) contract to develop the Azadegan oilfield after the Chinese energy giant ignored repeated appeals to work on it, Iranian news agency said yesterday.
Iranian Oil Minister Bijan Zanganeh said CNPC was dragging its feet at what he said is a field with estimated reserves of more than 40 billion barrels of oil.
“There are problems with regards to progress,” he said Wednesday.
Iran has tried to bring new foreign investors into the energy sector since brokering an interim nuclear deal in November that brought modest relief from sanctions.
China’s CNPC signed up to develop Iranian fields after Japanese and European companies pulled out due to sanctions in the middle of the last decade.