TEHRAN, May 22 (Xinhua) -- Iran encourages medium-sized European oil companies to get engaged in the country's energy projects as the big enterprises may fear the U.S. penalties in case of doing business with Iran, a deputy of Iranian petroleum minister said Tuesday.

European medium-sized companies that are less engaged in trade with the United States, will benefit from the European Union's political support if they choose to work with Iran, Amir Hossein Zamaninia, deputy petroleum minister for international affairs and trading.

Medium-sized European oil firms even outdo the giants in technological capabilities in some areas, Zamaninia was quoted as saying by Tasnim news agency.

Last week, French energy firm Total said it might not be able to continue its gas development project in Iran, unless it gets a waiver from the U.S. to protect it from reimposed sanctions.

As a consequence of the U.S. decision to withdraw from the Iran nuclear deal, the company said in a statement that it "will not be in a position to continue" the project, known as the South Pars 11 (SP11).

On May 8, U.S. President Donald Trump announced that the U.S. would withdraw from the Iran nuclear deal and reinstate sanctions that were in force before the implementation of the landmark agreement.