Shana-- Iranian Minister of Petroleum Bijan Zangeneh says production of crude oil from Azar Oilfield can reach 100,000 b/d once its second phase development project becomes operational.

The official also said that the newly-devised model of oil contracts can be applied for designating a developer for the project.
He also said that associated gases of the field can be used to feed petrochemical facilities in the western city of Dehloran.

"A promising future awaits the western province of Ilam," said the official highlighting the province's potentialities in oil, gas, refining and petrochemical sectors.
Early production from the field, located in the border city of Mehran, began in a ceremony held on Tuesday in the presence of Iranian Minister of Petroleum Bijan Zangeneh.

Azar Oilfield development project is aimed at production of 65,000 b/d of crude oil.
Crude oil recovery from the field will double during spring and reach the envisioned 65,000 b/d by the end of the next calendar year to late-March 2018.

Azar structure is an asymmetric anticline located in the Anaran exploration block in the foreland basin of the Zagros fold and thrust belt along the Iran-Iraq border. Total length of the field (on top of Ilam Fm.) is more than 36.5 km including the extension in Iraq, approximately 13.5 km on the Iranian side.
The development plan of the project totally consists of drilling 19 wells during 55 months as well as designing and constructing required surface facilities, separation units and transferring pipelines.

Azar, shared by Iran and Iraq, is estimated to hold 2.5 billion barrels of oil in place.