Iranian Oil Minister Bijan Namdar Zanganeh said the China National Petroleum Company (CNPC) has officially replaced French company Total which has backed out of a deal on development of Iran's South Pars gas field.
The CNPC has formally replaced Total in the project on development of South Pars gas field’s phase 11, Zanganeh announced on Sunday, but noted that the Chinese company has not still begun the job.
“Negotiations should be held with the Chinese company CNPC to see when it would start the operational activities,” the minister added.
In July 2017, Total signed a $1 billion deal to develop the South Pars gas field, south of Iran.
According to the agreement, the CNPC could take over Total’s 50.1 percent stake and become operator of the project in case of Total’s withdrawal from Iran.
Total pulled out of South Pars deal in May 2018 in light of a decision by US President Donald Trump to pull his country out of the 2015 Iran nuclear deal.