Schlumberger Signs Early Oil Deal With Iran
November 27 2016 - 8:10PM
Dow Jones News
Schlumberger Ltd., the world's largest oil driller by market
value, said Sunday it had signed a preliminary deal to study an
Iranian oil field, as Donald Trump's presidential victory has yet
to deter U.S.-connected companies from dealing with Tehran.
The contract is one of the most prominent signed since the Nov.
8 election. Mr. Trump has vowed to undo a nuclear pact with Tehran
signed last year by global powers.
The pledge has led many international companies to freeze their
plans to enter the Islamic Republic despite the country's huge
potential as an energy and consumer market.
But a spokesman for Schlumberger, one of the world's largest
oil-services companies, told The Wall Street Journal it has signed
a memorandum of understanding with the state-run National Iranian
Oil Company "for the non-disclosure of data required for a
technical evaluation of a field development prospect."
Though it is incorporated in Curaç ao in the Dutch Antilles,
Schlumberger has one of its headquarters in Houston, while some of
its shares trade in New York. If completed, the deal would be the
first in Iran for Schlumberger since European sanctions for the
company to leave the country in 2010.
Schlumberger said the deal does not involve the execution of
oilfield services operations and it intends to comply with the laws
and regulations of the countries where it operates.
Though most international sanctions on Iran's energy industry
were lifted in January, Washington has maintained a ban on U.S.
companies and citizens from investing in that country's oil
fields.
European oil giants have stepped into the breach, culminating
with an agreement by France's Total SA to join a $4.8 billion
investment in an Iranian gas field hours before Mr. Trump was
elected.
Despite uncertainty over what the president-elect will do over
the Iran nuclear deal, Schlumberger is not the only one to pursue
Iranian opportunities. Immediately after Mr. Trump's election,
Norway's DNO signed up to study a key Iranian oil field near the
Iraqi border.
European aircraft maker Airbus Group SE recently received U.S.
government backing for the export of more than 100 jetliners to
Iran, despite a move by U.S. lawmakers to curb such
transactions.
Write to Benoit Faucon at benoit.faucon@wsj.com
(END) Dow Jones Newswires
November 27, 2016 19:55 ET (00:55 GMT)
Copyright (c) 2016 Dow Jones & Company, Inc.
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