TEHRAN – Iran will start tapping the Azar oilfield, which it shares with Iraq, by extracting 30,000 barrels per day (bpd) of oil from the field.
The oilfield is estimated to yield 30,000bpd in the first phase. Once the field’s development plan is completed, the output will reach 65,000bpd, according to IRNA News Agency.
The oilfield will start early production in the first half of the next Iranian calendar year 1394 (March 2015-March 2016).
Azar is a cross-border field shared with Iraq, where it is called Badra. The field holds a total of 2.5 billion barrels of in-situ deposit. Recoverable reserves on both sides total 400 million barrels.
In October 2011, the Iranian Oil Industries’ Engineering and Construction (OIEC) Company signed a $1.9 billion contract with a domestic consortium to develop the on-shore Azar oilfield.
According to the agreement, the oilfield will be developed in six years and it will produce 50,000 to 65,000 barrels of light crude per day for a period of 25 years.
As part of plans to develop the Azar oilfield, Iran launched the first drilling rig for operation at the field in October 2012.
Iran shares oil and gas fields with most of its neighbors, including Iraq, Kuwait, Qatar, as well as Oman and Turkmenistan.
Iran shares Yadavaran, Azadegan, and Azar oilfields with Iraq.
Based on studies, there are 23 joint hydrocarbon fields between Iran and Iraq which are divided into exploration, development and production categories.