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EghtesadOnline: Completion of the South Pars Gas Field project is estimated to cost upwards of $90 billion as Iran aims to raise natural gas production from the giant field to more than 700 million cubic meters per day in two years, said Mohammad Meshkinfam, the chief executive of Pars Oil and Gas Company.

"The need is for $91 billion to develop all phases of South Pars Gas Field, of which $31 billion has already been spent in the phases already developed with the remaining phases requiring $60 billion," Meshkinfam was quoted as saying by Shana on Monday.

Iran is developing the massive gas field in 24 phases. It is the world’s largest gas field shared by Iran and Qatar, covering an area of 3,700 square kilometers of Iran’s territorial waters in the Persian Gulf.

Meshkinfam stressed that Tehran will reap the dividends of its massive investment in South Pars in the space of a year with gas at 25 cents per cubic meter and condensates at $50 per barrel, Financial Tribune reported.

"Once all South Pars phases are up and running, daily revenue from the field will reach $272 million, or approximately $100 billion per year," he noted.

South Pars holds an estimated 40 trillion cubic meters of natural gas, or roughly 8% of the world’s reserves and approximately 18 billion barrels of condensates. It adjoins Qatar’s North Field that spans over 6,000 square kilometers.

According to official versions, all South Pars development projects except Phase 11 will be completed by March 2018.

Last month, French oil and gas major Total signed a preliminary agreement, worth $4.8 billion, to develop Phase 11, one of the least-developed South Pars projects, in cooperation with China National Petroleum Corporation and Iran's Petropars.

Oil Minister Bijan Namdar Zanganeh said this month that Total has pledged its long-term commitment to the South Pars project by using its high-pressure boosters to raise gas output from Phase 11 to more than 50 mcm/d within 15-20 years.

Production from Phase 11 is expected to begin 40 months after the final contract is signed with Total.

 Set on Higher Trajectory

Upon the completion of all South Pars phases, gas production from the field will rise by more than 200 million cubic meters, with condensates output set to reach 1 million barrels a day, ethane to 9 million tons per annum, liquefied petroleum gases to 10 million tons annually and sulfur to 5,000 tons a day.

Iran is now pumping 500 mcm/d from South Pars field and plans are underway to raise production to 550 mcm/ by next March.

Meshkinfam forecast that gas condensates output will reach 680,000 bpd in three months from around 600,000 barrels at present. Gas condensates are regarded as an ultra light blend of crude found in natural-gas deposits.

Since South Pars operations started nearly two decades ago up until March 2016 -- end of the previous fiscal year -- Iran drew a total of 879 billion cubic meters of natural gas, generating $378 billion from the joint field.

According to Meshkinfam, South Pars production has soared by 95 million cubic meters a day in the current fiscal, thanks to the launch of phases 15, 16, 20 and 21.

Around two-thirds of domestic demand for natural gas comes from South Pars.

Iran produced 131 billion cubic meters of gas worth $46 billion from South Pars in the previous fiscal year, Meshkinfam said.

In 2014, Iran and Qatar reportedly extracted 95 billion cubic meters and 177 billion cubic meters of gas, respectively, according to the Natural Gas World.

South Pars Iran gas Mohammad Meshkinfam