The block has one billion barrels of oil also National Iranian Oil will market the product After the successful discovery of crude oil in three wells of Farsi block in Iran, a consortium led by ONGC Videsh (OVL) and comprising Indian Oil Corporation and Oil India Limited (OIL) have submitted a proposal to invest about $3 billion to bring into production 12.8 trillion cubic feet (tcf) of gas reserves. Official sources said that the consortium had submitted a commerciality report of the gas find in December and was awaiting a decision from the Iranian Government to go ahead with the deal. OVL, IOC and OIL have a service contract for the Farsi block where they will be reimbursed 35 per cent plus $90-million investment they made during the exploration phase. The service contract for exploration expires this month. If the consortium gets the developmental rights, they will be paid a 15 per cent rate of return over and above the investments they make. The oil and gas will belong to National Iranian Oil Company (NIOC) and NIOC is they that will do the marketing. The consortium will have no say in that, source said. The block also has oil reserves that may be around one billion barrels in size. OVL-IOC-OIL had struck crude oil in three wells in the Farsi block, 90 km off Bushehr port. It found gas in one well. OVL and IOC have 40 per cent stake each in the Farsi block that was awarded to the consortium in 2002. OIL has the remaining 20 per cent. Under Iranian rules, the project promoters are not allowed to take oil or gas out of the country. OVL had to fund all exploration operations that would be reimbursed only after ascertaining commerciality.