Arvand oil field which is located 50 kilometers south of Abadan in Khuzestan Province is one of the oilfields shared with Iraq that have been proposed to foreign investors under the Iran Petroleum Contract (IPC) model. The field lies at the entry of Arvandroud River and is 42 kilometers long and 13 kilometers wide. It is estimated to contain one billion barrels of oil in place with a recovery rate of 15%, over 14 bcm of dry gas and 55 million barrels of gas condensate.
The field, which is administered by Arvandan Oil and Gas Production Company (AOGPC), was discovered in 2008. The drilling had started in 2006 for the purpose of estimating the hydrocarbon potential of the formations in the Khami and Bangestan layers. Four well logging operations were carried out in Fahlyan formation to prove the existence of oil and gas in that formation. The field holds light crude oil with API gravity at about 44.
Several years ago, an agreement was signed between AOGPC and the Iranian Offshore Engineering and Construction Company (IOEC) for the development of the Arvand oil field, but the agreement was never implemented due to financial and other problems.
The Arvand oil field is expected to produce 5,000 b/d of oil in the first phase, which would reach 20,000 b/d in the final phase. The investment needed for the development of this field stands at $135 million, which is likely to increase. The API gravity of oil in Arvand varies between 39 and 43. The Arvand oil is planned to be transferred to the Abadan Oil Refinery.
Source: Iran Petroleum