General Guidelines and Policies for Research, Technology, and Commercialization of the Ministry of Oil

1. A) General Goals of Research, Technology, and Commercialization of the Ministry of Oil

Goals for the Entire Value Chain:

• Development of technologies related to optimizing energy consumption, reducing energy intensity, and modifying energy consumption patterns.
• Development of environmental technologies throughout the upstream and downstream value chain of oil and gas to achieve the objectives of national documents.
• Development and enhancement of technologies in the area of efficient maintenance and repairs based on a forward-looking system.
• Improvement of energy production security across the oil and gas value chain by optimally utilizing the economic and geographical advantages of oil and gas resources.
• Development of technological systems for the production, storage, transfer, and distribution of oil and petroleum products aimed at reducing waste and losses and enhancing productivity across the entire oil and gas value chain.
• Digitization, automation, modularization, and smart technology implementation in the oil and gas industry.
• Development of emerging technologies such as big data, the Internet of Things (IoT), wireless communications, augmented reality, and blockchain to enhance productivity in the upstream and downstream oil and gas value chain.
• Compilation of technical knowledge, development, and commercialization of technologies related to the design and development of processes, equipment, catalysts, and strategic and high-consumption chemicals in the upstream and downstream oil, gas, petrochemical, and refining chains.

Goals of the National Iranian Oil Company:

1. Expanding Oil Exploration in the Country as the main support for oil production planning through:

• Development and utilization of advanced technologies to reduce exploration and operational risks, both onshore and offshore.
• Development and localization of innovative software for geological, petrophysical, and geophysical data study and interpretation.

2. Exploration and development of unconventional oil and gas reserves such as shale and gas hydrates (methane hydrates).
3. Development and enhancement of technologies related to increasing the recovery factor of the country’s oil fields, improving the productivity index of production wells, and sustainably increasing crude oil production through the development and application of enhanced oil recovery technologies, relying on domestic capacities, especially universities, research centers, and knowledge-based companies.
4. Development and utilization of technologies aimed at reducing waste and losses in the production, transmission, and distribution of oil and gas, lowering Opex costs, improving integrated asset management, and enhancing health, safety, and environmental standards in the upstream oil and gas value chain.
5. Development and utilization of new technologies to enhance drilling operation safety and reduce risks, control sand production from wells, and implement advanced drilling methods.
6. Development and utilization of technologies to increase natural gas production, particularly in the South Pars shared field.

Goals of the National Iranian Gas Company:

1. Knowledge-Based Management of the Value Chain in the gas industry through:

• Development of technical knowledge of refining processes and implementation of innovative gas refining methods to enhance energy efficiency.
• Integration of measurement systems, information production, and dispatching systems.
• Development and execution of new surface and underground storage methods.

2. Development and utilization of technologies to reduce losses in transmission, distribution, and storage of gas through:

• Smartening at least 10% of transmission and distribution lines of gas refineries.
• Achieving innovative maintenance, inspection, and repair methods, as well as control and automation systems for stations and transmission and distribution lines.
• Attaining advanced technologies for designing, constructing, and installing pipelines and stations.
• Enhancing energy recovery systems.

3. Attaining advanced technologies to improve the efficiency of desalination and sulfur removal units.
4. Development of technologies related to the collection of flared gases and improvement of flaring system efficiency.

Goals of the National Iranian Oil Refining and Distribution Company:

1. Development and utilization of priority technologies in the refining of oil and gas to achieve the following goals:

• Establishment of new refining capacities, especially for gas condensate and very heavy crude oil.
• Increasing the refining capacity of the country’s crude oil and gas condensate.
• Development of the downstream industries of refineries and increasing production of products from these units.
• Increasing refining margins resulting from waste fuel reduction and energy consumption optimization.
• Achieving high value-added products through refining and petro-refining processes.

2. Domestic manufacturing, localization, and commercialization of high-consumption chemicals and catalysts required for the oil, refining, and gas processing industry.
3. Development and utilization of smart technologies to prevent the smuggling of petroleum products and minimize losses in pipeline systems through the modernization of smart leak detection processes.

Goals of the National Petrochemical Company:

1. Development and utilization of priority technologies to achieve the following goals:

• Increasing the production capacity of petrochemical products and developing the value chain of petrochemical industries.
• Completing the value chain of downstream petrochemical industries.
• Optimizing and enhancing productivity while addressing process issues in existing production units.
• Development and utilization of innovative petrochemical and nanotechnology processes with high operational efficiency.

2. Compilation of technical knowledge, development, and commercialization of technologies related to producing strategic chemicals, polymer and non-polymer processes, catalysts, complementary industries, and high-consumption materials in the petrochemical industry.
3. Reducing waste and monitoring corrosion in process equipment, storage tanks, and pipelines.

1. B) Policies for Research, Technology, and Commercialization of the Ministry of Oil:

• Material and moral support for transforming ideas into products and increasing the share of advanced knowledge-based products and services in the upstream and downstream operational projects of the oil industry.
• Quantitative and qualitative development of the innovation and technology ecosystem in the oil and gas sector and the creation and development of all institutional components within it to enhance the role of knowledge-based companies and technology units in solving oil and gas industry issues and boosting the export of technical-engineering services and knowledge-based industries.
• Identification and aggregation of technology, goods, and priority services demands in the oil and gas industry value chain, delegating their implementation to knowledge-based and technology companies.
• Creation of industrial clusters and networks of technological cooperation among startups, knowledge-based companies, universities, and mature industrial companies in oil and gas (exploration and production companies, contractors, and equipment manufacturers) aimed at supporting the enhancement of domestic capabilities in developing complex technologies, manufacturing materials, and equipment for the oil industry and redesigning the business model of research contracts to create sustainable entrepreneurial technological institutions.
• Increasing the share of applied research and completing the chain of these research projects to the commercialization stage.
• Promoting a discourse on innovation and technology, creating suitable opportunities, and establishing a regulatory system for the oil and gas technology market to identify and match the supply and demand of technology at the national and international levels by utilizing virtual platform capacities and developing tariff support mechanisms and incentives to create comparative advantages and motivate exports of domestically produced products.
• Expanding targeted material and moral support for elites, innovators, startups, and knowledge-based companies in the upstream and downstream oil industry within the innovation ecosystem, such as technology parks and their satellite centers.
• Needs assessment and quality improvement of university research and supporting the application of this capacity in developing priority technologies and addressing technological challenges in the oil industry through student theses, research grants, study opportunities, and research contracts with universities.
• Development and strengthening of targeted national and international technological cooperation networks with universities and research centers for conducting joint training programs and delegating technological projects within international consortiums to acquire the necessary knowledge for the oil industry, utilizing the capacities of international energy research institutes, the Oil Industry Research Institute, the Oil Industry University, the Petrochemical Research and Technology Company, the Oil and Gas Innovation Park, and other universities and research centers.
• Strengthening and developing the role of research centers affiliated with the Ministry of Oil as research and technology management organizations (RTO).
• Engaging operational and executive units of the oil industry to connect with universities and research centers to apply developed technologies and field test them within the oil industry.
• Defining and implementing new interdisciplinary fields in related engineering disciplines within the upstream and downstream oil industries at the Oil Industry University and supporting applied research in these newly created fields.
• Supporting the definition and execution of research topics related to resistant economy and economic policymaking models, financial management, trade, technology, projects, law, and contracts aimed at developing managerial and economic capabilities in the oil and gas sector.
• Implementing the technology attachment of operational contracts in the oil industry within large-scale transactions aimed at transferring and developing knowledge and technology, enhancing managerial capabilities, and increasing domestic content share (LOCAI Content).
• Establishing a facilitator organization for exporting technology and innovative products of the oil industry and activating technology diplomacy in the region through constructive balance with target countries and effective companies in oil and gas technology supply in global markets within the oil industry innovation ecosystem, and organizing cooperation with the Ministry of Industry, Mining, and Trade, the Ministry of Foreign Affairs, and chambers of commerce to enhance the efficiency of the relevant institution.
• Supporting the formation of specialized insurance and providing specific insurance coverage to reduce the risks of producing and utilizing innovative products and services in the oil industry.
• Utilizing modern tools to identify and prioritize technological needs in the physical asset domain of the oil industry (such as comprehensive EAM systems) and conducting applied research to provide innovative solutions considering existing capacities in physical asset management.
• Leveraging the capacities of the quality certification body for oil industry products to validate domestically produced technological products and expand its services to enable validation across a wide range of commodity groups and equipment through developing testing and examination centers across the country.
• Developing internal and external financing methods to facilitate the financial resource procurement for research and technology projects in the oil sector with an approach to increasing private sector participation.
• Developing mechanisms to attract, employ, and utilize the capacity and expertise of foreign scholars, researchers, and technologists, particularly Iranians residing abroad, utilizing the independent research components of the Ministry of Oil.
• Allocating 60% of annual research funding for research projects derived from the priority technology roadmap of each company and allocating the remaining 40% of annual research funding to solve technological challenges.
• Designing appropriate mechanisms for accepting the assets of mature companies from research and technology funds as guarantees for receiving financial facilities in technological contracts.
• Developing and utilizing the financial capabilities of research and technology funds, technology accelerators, and business angels to provide services in the field of venture capital, offering contractual guarantees to startups and knowledge-based companies in the oil sector, and guaranteeing the purchase of technological products.
• Serious involvement of the International Energy Studies Institute (in strategic areas) and the Oil Industry Research Institute (in technical areas) in conducting strategic technological studies in the oil and gas sector.
• Supporting the development of energy service companies (ESCO) and the development of technologies related to the services of these companies.
• Integrated management of technology and commercialization project portfolios through a comprehensive management system to monitor the effectiveness of technological projects, register and utilize knowledge, and establish a knowledge management system in research and technology.