was discovered near Bushehr. Market value of Iran's total oil reserves at international crude price of $75 per barrel stands at ~US $10 trillion. In the early 2000s, leading international oil firms from China, France, India, Italy, the Netherlands, Norway, Russia, Spain, and the United Kingdom had agreements to develop Iran's oil and gas fields. In 2004 China signed a major agreement to buy oil and gas from Iran, as well as to develop Iran's Yadavaran oil field. The value of this contract was estimated at US$150 billion to US$200 billion over 25 years. In 2009, China National Petroleum Corp (CNPC) signed a deal with the National Iranian Oil Company whereby the former took ownership of a 70% stake upon promising to pay 90 percent of the development costs for the South Azadegan oil field, with the project needing investment of up to $2.5 billion. Earlier that year, CNPC also won a $2 billion deal to develop the first phase of the North Azadegan oilfield. A more modest yet important agreement was signed with India to explore and produce oil and natural gas in southern Iran. In 2006 the rate of production decline was 8 percent for Iran's existing onshore oil fields (furnishing the majority of oil output) and 10 percent for existing offshore fields. Little exploration, upgrading, or establishment of new fields occurred in 2005–6. However, the threat of American retaliation kept the investment way below the desired levels. It only allowed Iran to continue to keep its oil export at or below its OPEC determined quota level. Today, much of the equipment needed for oil industry are being produced by local manufacturers in Iran. Besides, Iran is among the few countries that has reached the technology and "know-how" for drilling in the deep waters. Oil refining and consumption In 2011 Iran's refineries had a combined capacity of . The largest refineries have the following capacities: Abadan, ; Esfahan, ; Bandar-e Abbas, ; Tehran, ; Arak, ; and Tabriz, . In 2004 pipelines conveyed 69 percent of total refined products; trucks, 20 percent; rail, 7 percent; and tankers, 4 percent. Oil refining produces a wide range of oil products, such as liquefied petroleum gas (LPG), gasoline, kerosene, fuel oil, and lubricants. Iran is a net exporter of petroleum products thanks to large exports of residual fuel oil, but the refineries cannot meet domestic demand for lighter distillates such as