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Tuesday, Aug 25, 2026

Iran Begins Development at Offshore Farzad B Gas Field Shared With Saudi Arabia

Roll-out of massive drilling platform signals acceleration of joint resource development along maritime border
Iran has launched development operations at the strategically significant offshore gas field commonly known as Farzad B Gas Field, located along the maritime border with Saudi Arabia in the Persian Gulf.

State-controlled firm Petropars Group and the Iranian Offshore Engineering and Construction Company (IOEC) began the roll-up of the WHP1 platform jacket on 19 November 2025, marking a major step in the field’s development.

The massive structure, weighing approximately 2,650 tonnes and standing 63 metres tall, will soon be loaded out to the offshore site, the energy ministry said.

The field, lying roughly 85 kilometres east of the Iranian port city of Bushehr, straddles the Iran-Saudi Arabia border and holds an estimated 23 trillion cubic feet (about 650 billion cubic metres) of natural gas.

Iranian officials state roughly 75 per cent of this reserve lies within Iranian territory.

Saudi Arabia has been producing from the field under its name (“Arabiyah”) since 2016 at about 1.2 billion cubic feet (34 million cubic metres) per day.

Development on the Iranian side had been stalled since 2014 due to foreign sanctions and the withdrawal of an Indian consortium.

The new platform build is jointly executed by Petropars and IOEC, drawing on 28,000 person-days of work and more than 113,000 inches of welding, according to the overseeing agencies.

Petropars has previously announced that when brought online, the field will add approximately one ​billion cubic feet (28.3 million cubic metres) of gas per day to Iran’s production capacity.

The development plan includes drilling wells, installing offshore platforms and building subsea pipelines to transport sour gas and condensate to on-shore processing facilities in Iran’s Kangan region, aligned with prior contract documentation.

The initiative is regarded as a strategic priority by Tehran, aiming to protect shared resources and enhance the country’s energy security amid growing domestic demand and sanctions pressures.

By accelerating the Farzad B project, Iran signals renewed momentum in offshore gas development while moving to ensure that cross-border hydrocarbon assets are fully tapped.

Execution of the WHP1 platform marks a turning point in this long-delayed project and sets the stage for the next phases of offshore construction and drilling operations in what Iranian officials describe as one of the most technically complex projects in the country’s petroleum sector.
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