Iran Restores 40% of South Pars Capacity After US-Israeli Strikes

The restoration of South Pars is crucial to Iran's energy security after US-Israeli strikes damaged around 40% of its production capacity, the country's Deputy Oil Minister for Planning Ahmad Zeraatkar said.

Iran has restored several damaged units and brought around 40% of damaged capacity back into operation, but complete reconstruction will take at least two years due to the scale of the damage. Debris removal has been completed at damaged facilities, and Iranian authorities say reconstruction has now moved into the implementation stage.

The recovery effort extends beyond emergency repairs with Iranian financial institutions joining reconstruction through four domestic financing projects, while an agreement has been signed for rebuilding refineries serving phases 9 and 10 between Pars Oil and Gas Company and a consortium led by Shahr Bank. Officials are presenting the programme as evidence that Iran can restore strategically important infrastructure using domestic engineering, financing and industrial capabilities.

The importance of South Pars makes the reconstruction considerably more consequential than the repair of an individual industrial installation, located in the Persian Gulf and sharing the same enormous reservoir as Qatar's North Field, it is fundamental to Iran's domestic natural gas supply, electricity system and petrochemical sector. Iranian officials also face an immediate operational challenge: keeping gas production stable during colder months, when domestic consumption rises substantially.