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SKS Ventures


Date: January 2007 – Ongoing

Deal: According to the Tehran Times, SKS Ventures signed a Memorandum of Understanding with the Iran Power Development Company (IPDC) to construct a combined cycle power plant in Zanjan, Iran under a build-operate-transfer (BOT) arrangement in January 2007 (Tehran Times (Iran), January 15, 2007). According to a Malaysian news source, SKS was still involved in this project as of September 2009 (The Star Online (Malaysia), September 10, 2009).

Date: March 2007 – Ongoing

Deal: In March 2007, Iran's PressTV reported that SKS Ventures subsidiary SKS Development had offered the National Iranian Oil Company (NIOC) a minority stake in its Kedah refinery in Malaysia, a project worth $2.2 billion. The source claimed that the refinery would process 200,000 bpd of Iranian crude oil (PressTV (Iran), March 23, 2007).

In 2008, Iran and Malaysia signed agreements "pertaining to exports of 250,000-bpd of heavy and ultra-heavy crude oil" to the Kedah refinery, according to research from an industry research firm. The deal also provided for the export of 120,000 bpd of gas condensates from Iran to Malaysia (Industrial Info Resources, December 15, 2008).

In August 2009, UPI reported that Iran and Malaysia had signed "two memorandums of understanding for the construction of Pars gas condensates refining in Iran's Shiraz Refinery and Kedah Refinery in northern Malaysia," according to Hamid Sharifrazi, a director at the National Iranian Engineering Oil Construction Co. (NIEOC). The deal would create a new joint company called SKS-PARS, in which total investment was reported to amount to as much as $7 billion (UPI, August 17, 2009). According to the Tehran Times, the Pars refining unit will be able to produce 12 million liters of gasoline per day (Tehran Times (Iran), August 16, 2009).

The Tehran Times reported that SKS Ventures subsidiary SKS Development signed the deal with NIEOC. The new company to be formed was slated to fund 30 percent of the project, while the venture would secure loans for the remaining 70 percent. (Tehran Times (Iran), August 16, 2009).

Date: January 2007 – Ongoing

Deal: According to Forbes, in December 2007, SKS subsidiary Petrofield signed a $6 billion preliminary agreement with NIOC to develop the Golshan and Ferdowsi gas fields and construct a plant to produce LNG from them. Iran's oil minister Gholamhossein Nozari stated that the initial project will be completed by 2014 (Forbes, December 26, 2007).

According to the Pars Oil and Gas Company's website, Petrofield subsidiary SKS Oil and Gas International (SKOSG) and NIOC signed an initial Memorandum of Understanding for this project in January 2008. SKOSG signed the preliminary agreement in December 2007, and it was approved by NIOC's board of directors on January 1, 2008. The contract will end when SKOSG fully recovers the development costs it invested and the remuneration fees to which it agreed (Pars Oil and Gas Company Website, accessed July 23, 2010).

The U.S. Government Accountability Office (GAO) reported that the contract is expected to take over five years to complete (GAO Report, March 23, 2010).

Al Jazeera reported that Tom Lantos, then chairman of the U.S. House Foreign Affairs Committee, requested that free trade talks between the United States and Malaysia be suspended until Malaysia canceled the deal. Malaysian trade minister Rafidah Aziz responded that the U.S. should stop meddling in Malaysia's internal affairs, and threatened to cancel FTA talks (Al Jazeera English, February 2, 2007).

According to research from Industrial Info Resources, in December 2008, NIOC and Petrofield signed an additional agreement, under which SKS would develop the Golshan and Ferdowsi gas fields on a buy-back contract, and Petrofield would build a LNG facility in Deir, Iran using gas from the Golshan field. In the original 2007 agreement, gas from both fields was to be used at the plant, but it was discovered that gas from the Ferdowsi field was not suitable for LNG production and the 2008 agreement reflects that discovery. "NIOC will assume complete ownership of the LNG facility after a period of 25 years. NIOC and Petrofield will also set up a shipping company through a 50:50 joint venture for the transport of LNG" (Industrial Info Resources, December 15, 2008).

The GAO reported that according to the agreement, Petrofield will finance 100 percent of the building costs of the plant and its investment will be repaid in seven years from the sale of gas and other related products (GAO Report, March 23, 2010).

In December 2009, Iran's PressTV announced that SKS had made a proposal to invest $20 billion in the Ferdowsi and Golshan gas fields. Iran and Malaysia also reportedly plan joint ventures to build refineries in Vietnam and Syria (PressTV (Iran), December 8, 2009).

U.S. Business Interests: According to, SKS Ventures has received no U.S. government contracts (, accessed August 19, 2014).

It appears that SKS Ventures has no direct business activities in the United States.

Last Updated: August 19, 2014