China national suspends its investment in an oil field in Iran

by **claud39** Wed Dec 12, 2018 10:35 am

http://www.shafaaq.com/ar/Ar_NewsReader/d3f2b90a-78f7-4643-abdd-21448ee348ef

[size=32]China national suspends its investment in an oil field in Iran[/size]

China national suspends its investment in an oil field in Iran 773x435_business-china-iran-oil-as5-4550016

China national suspends its investment in an oil field in Iran 773x435_business-china-iran-oil-as5-4550016

China's National Petroleum Corporation (CNPC) has suspended its investment in the South Pars gas field project for Iranian natural gas due to US pressure and in order to reduce tensions under trade talks between Beijing and Washington, three government executives in China's oil sector said.

The southern Pars field is the world's largest natural gas field and the freezing of China National Petroleum Corporation's (CNPC) investments is a blow to Tehran's drive to keep funding for energy projects under US sanctions on Iran's oil sector earlier this year.

Iran said on November 25 that China's National Petroleum Corporation (CNPC) replaced Total in the operation of phase 11 of the South Pars field project after the French company withdrew from the project for fear of violating the sanctions.

One of the sources, an executive directly familiar with the issue, said the investment freeze came after four rounds of talks in Beijing, including a tour in October with senior US officials urging the firm to refrain from injecting new funding into Iran

The sources said it was not clear whether the Chinese government had given direct orders to stop investments, but the sources added that it was logical in the context of trade negotiations between China and the United States.

Since China's National Petroleum Corporation (CNPC) is a state-owned entity, it will remain immune from any unnecessary trouble in this relationship with the ongoing inter-state trade talks, said an official familiar with China's global strategy. United Nations and China ".

The sources requested anonymity because they are not authorized to speak to the media.

One source said Iran had 120 days to review the role of the China National Petroleum Corporation in the South Pars field and to decide whether to keep the Chinese company as an idle investor or to cancel the deal.

CNPC did not respond to requests for comment.

Two Iranian oil ministry officials declined to comment when contacted by Reuters.

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