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Iran State Gas Company Faces Collapse, Hit by Sanctions
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The near collapse of Iran's state owned gas company following stricter Western sanctions and withdrawal of Total and other oil companies. Iran sits on top of the second largest gas reserves in the world but is able to export gas only to Turkey and Azerbaijan. Qatar which borders one of Iran's large gas fields is developing its side of the field with technology and investment from Shell and other foreign oil companies. The CEO of the company, Hamid Reza Araghi, told the Mehr News Agency that the company had declared bankruptcy, with debt of about $4 billion. Gas revenues have dropped to about $10 million a day and the company suffers from mismanagement.
The near collapse of Iran's state owned Gas Company following crippling western sanctions
11/19/2013
The failure to develop natural gas resources with the withdrawal of Total and other western oil companies and the lack of access to new technologies is severely hurting Iran. Iran sits on top of the world's second largest gas reserves but gas exports are limited to Turkey and Azerbaijan. Qatar which borders a large Iranian gas field has moved to develop its gas reserves with the help of Shell and other oil companies.
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