The first phase of Iran’s North Azadegan Oilfield will come on stream in the near future with producing 75,000 barrels per day (bpd) of oil, according to the Shana News Agency.
The oilfield is planned to produce 150,000 bpd of oil when its second phase is put into operation.
Shared with Iraq, North Azadegan has estimated in-place reserves of about 17 billion barrels.
The oilfield’s first development phase was awarded to China National Petroleum Corporation International (CNPCI). However, the Chinese oil giant’s contract with Iran was cancelled in April 2014 over repeated delays.
Development of joint oil and gas fields is a priority of the Iranian government.
Western sanctions have cut Iran’s oil output to 2.7 million bpd from 3.9 million bpd, according to Iranian Oil Minister Bijan Namdar Zanganeh.
In April, Zanganeh said it would take just a few months for the country to increase its oil production to pre-sanction levels.
With holding 157 billion barrels of recoverable crude oil reserves, Iran possesses the world’s fourth largest crude oil reserves.