Load-out of first unit paving the way for start-up of Phases 6 to 8. The $2.5 billion development of Phases 6 to 8 of Iran's South Pars gas field passed an important milestone this week with the loading out of the first of three topsides for the scheduled production of first gas by the end of the year. The 2800-tons SPD7 topsides was loaded out at Sadra's Bushehr yard over the weekend and is to be installed in the coming fortnight at Phase 7 of the three-phase development, in which Norway's Statoil has a 40% offshore stake.

The operation was carried out by the 5000-tonne lifting capacity HL5000 lift barge belonging to Deep Offshore Technology Company, a Sadra subsidiary. The same barge will install the topsides before returning to load out the SPD6 topsides for installation in June. Operations for Phase 8 will be carried out later in the year. Completion of the topsides as well as some other facilities has been delayed for technical and other reasons and the project to carry South Pars gas north to the Aghajari oilfield for re-injection is more than two years behind schedule. The three phases are to produce about 2.8 billion cubic feet per day of gas, with about two-thirds of that amount destined for Aghajari, about 500 kilometres to the north-west. Construction of the pipeline to Aghajari started behind schedule earlier this year, with some experts predicting completion in 2008. A first stage of 50 kilometres to the Jam refinery near Bandar Taheri was expected to be completed by the National Iranian Gas Company by last month, although there have been compressor problems. Sadra also has the contract for laying 32-inch pipelines from the three automated platforms 105 kilometres to onshore processing facilities at Bandar Assaluyeh. However, two existing pipelines laid at Statoil's initiative two years ago will allow production to start from the delayed platforms and onshore facilities. The latest official start-up date is this autumn, although further delays are not ruled out. First gas was originally scheduled for 2004. The onshore facilities for Phases 6 to 8 are being built by a consortium led by Toyo Engineering. State-owned Petropars is in charge of the overall project to produce and export the gas.