TEHRAN: Iranian Oil Minister Bijan Namdar Zangeneh says France’s energy giant Total, as well as French petrochemical firms have expressed willingness to come back to the Iranian market.
In a meeting with visiting French Foreign Minister Laurent Fabius in Tehran, Zangeneh said a new chapter will be opened in cooperation with Total to develop Iranian oilfields.
“Total has participated for more than 20 years in Iran’s oil projects. Meanwhile, French petrochemical companies have long been invested in the Iranian market. They are planned to boost their presence and finance Iranian petrochemical projects,” Zangeneh said.
French companies will cooperate with Iranian partners on economizing energy consumption, LNG production, and equipment procurement projects, he added.
The French minister, for his part, said that he held constructive and positive negotiations with Iranian officials in the field of energy.
Earlier this month, Total’s chief executive Patrick Pouyanné said the company seeks oil and natural gas projects in Iran.
He added that his company seeks liquefied natural gas (LNG) and oil projects in Iran. “We are looking at both gas and oil. When we had to leave Iran in 2006, we were actively working at an LNG project at South Pars (field) [in southern Iran]. So, first of all, we are closely looking at LNG projects.”
Before travelling to Iran, Fabius noted that French firms were “very well thought of” in Iran but denied the nuclear deal was struck with an eye on business.
“Trade is very important. It fosters growth. It’s important for the Iranians, it’s important for us,” he said.
“But when the president of the Republic (Francois Hollande) and I took the strategic decision (to agree to a deal) … we did not take it for commercial reasons, but for strategic reasons because we wanted to avoid nuclear proliferation,” stressed the minister.
France used to have a strong presence in Iran before the sanctions went into effect, with Peugeot and Renault being major players in the Iranian auto industry and energy giant Total heavily involved in the oil sector.
But two-way trade has fallen from four billion euros ($4.4 billion) in 2004 to just 500 million euros in 2013, according to French statistics.
Before sanctions were imposed against Iran over its nuclear program, car makers Peugeot and Renault were major players in the Iranian auto industry, and Total was also involved in the country’s oil sector.
The French employers’ federation, MEDEF, is due to visit Iran in September to try to kickstart ties.
Some 107 representatives from the body travelled to Iran early last year, triggering anger in the U.S. which said it was still too early to do business with Tehran.
