Israel today struck Iran's main energy source - the large gas field “South Pars“ and its infrastructure at the nearby processing center in the port city of Asaluyeh, which led to retaliatory attacks by Tehran on energy facilities in Persian Gulf countries, Reuters writes, BTA reported.
Today's air strikes represent the most serious escalation yet in the US-Israeli conflict against Iran, which began about three weeks ago, and have caused a sharp rise in oil and gas prices, as well as concerns about the global economy, the agency said.
The largest gas field in the world
“South Pars“ in the Persian Gulf is shared between Iran and Qatar and is the largest offshore natural gas field in the world. The field is estimated to hold about 1,800 trillion cubic feet (51 trillion cubic meters) of usable gas, enough to meet global demand for about 13 years.
According to the Organization of the Petroleum Exporting Countries (OPEC), Iran's total proven natural gas reserves are 34 trillion cubic meters. The field is key to the country's position as the largest gas producer in the Middle East and third in the world after the United States and Russia.
“South Pars“ is being developed in phases, each involving offshore platforms, pipelines and onshore facilities around the Iranian port city of Asaluyeh. The field has been attacked before - in June last year, Israeli strikes hit four Iranian facilities for the development of “South Pars“, located about 200 km from Qatar's gas installations (the field is shared between Iran and Qatar, Tehran calls it “South Pars“, and Qatar calls it “North Field“).
Main source for domestic consumption
“South Pars“ provides most of the gas that Iran uses - about 276 billion cubic meters in 2024, according to data from the Gas Exporting Countries Forum (GECF). The country is among the largest consumers of natural gas in the world.
According to estimates by “Argus“ (Argus) The field accounts for between 70 and 75 percent of Iran's total gas production. More than 90 percent of the output is consumed domestically, as Iranian households are heavily dependent on gas for cooking and heating.
Households will account for 41.5 percent of the country's final gas consumption in 2023, followed by industry with 36 percent, according to the International Energy Agency (IEA). The gas is also used as a feedstock in the petrochemical industry to produce plastics and fertilizers. About 85 percent of Iran's electricity is generated by gas-fired power plants, according to the Energy Institute (EI).
However, domestic production is not enough to meet peak demand in the summer, leading to power outages. In case of shortages, Iran uses diesel and fuel oil in its thermal power plants.
Exports to Turkey and Iraq
Unlike Qatar, Iran does not have the capacity to liquefy natural gas and exports the blue fuel only through pipelines to neighboring countries. In 2024, exports reached about 15 billion cubic meters, mainly to Turkey and Iraq.
The long-term transmission contract with Turkey expires in mid-2026 and is expected to be renewed at new, lower volumes. In 2024, Iraq signed a five-year agreement for gas supplies for its power plants. After today's attack, Iranian gas supplies to Iraq were suspended, with Tehran redirecting its gas to the domestic market, a senior official in Baghdad told Reuters.