The Iranian Parliament ratified a law that allows the government to issue bonds in the next fiscal year for developing major oil and gas projects, according to Financial Tribune.

The legislation grants the oil ministry permission to sell more than $1.5b in bonds for projects shared with neighboring countries, Tasnim News Agency reported.

The National Iranian Oil Company’s (NIOC) Director for Exploration, Saleh Hendi, said: “The entire budget will go for drilling operations.”

As Hendi further explained, preliminary studies on each oil and gas reservoir cost between $200m to $300m. However, Tehran’s exceedingly tight budget does not measure up to its energy aspirations.

According to the Oil Minister, Bijan Namdar Zanganeh, the country needs a staggering $200b for investment in its petroleum industry, including $130b for upstream exploration and production. To achieve this target, Tehran has pinned high hopes on developing its energy infrastructure with foreign finance and technology.

The government of President Hassan Rouhani plans to tender dozens of oil and gas fields under a new model of contracts that offers sweeter terms, such as production for up to 20 years and higher reward for riskier projects.

The fields that are shared with Iraq and Qatar are among the country’s coveted projects.