Iran Expands Oil Production From Joint Field With Saudi Arabia - Oil Company

The construction of the second oil well of Forouzan Oilfield, a joint Iran-Saudi Arabia field, has been completed, allowing Iran to grow its current oil extraction capacity, CEO of Iran's Petropars Oil Company Shamsuddin Mousavi said on Monday

TEHRAN (UrduPoint News / Sputnik - 12th September, 2022) The construction of the second oil well of Forouzan Oilfield, a joint Iran-Saudi Arabia field, has been completed, allowing Iran to grow its current oil extraction capacity, CEO of Iran's Petropars Oil Company Shamsuddin Mousavi said on Monday.

According to Mousavi, oil production from the well has started, and 1,000 barrels of oil will be extracted daily in addition to the initial capacity.

Forouzan Oilfield is situated 100 kilometers (62 miles) southeast of Khark Island in the Persian Gulf and joint Marjan Oilfield of Saudi Arabia. More than 80% of all hydrocarbon reserves in the oilfield are located in the Saudi Arabian waters.

In early September, CEO of the National Iranian Oil Company (NIOC) and Deputy Oil Minister of Iran Mohsen Khojastehmehr said the country was producing about 3.8 million barrels of oil per day, being one of the world's top oil producing countries along with the United States, Russia, Saudi Arabia and others.

Iran is bracing to reenter the export market for oil amid rumors that it gets to salvage the 2015 nuclear agreement with the world powers. Expectations of potential oversupply, which could be caused by Iran's comeback to the international oil market, resulted in crude prices falling for a third month in a row in August 2022.