Accompanying President Seyyed Ebrahim Raeisi, the oil minister was briefed on the latest executive operations of the field shared with Iraq.

The second phase of the Yaran field started on August 26, 2022 on the occasion of Government Week (August 24-30).

The field’s northern and southern parts have been already developed in the first phase and around 20,000 barrels of oil are currently produced per day, of which 45 percent are recovered by downhole pumps. Its output will rise to 36,000 barrels per day when the second phase is completed by the Persia Oil and Gas Industry Development Company (POGIDC) under a 10-year contract awarded by the National Iranian Oil Company (NIOC).

Under the $227-million contract, POGIDC is to increase the field’s oil production by 39.5 million barrels within the 10-year time span.

According to the estimates, the field has 1.7 billion barrels of in-place crude oil reserves.

Downhole pumps have been used for the first time in the Yaran oil field development project and one of the enhanced oil recovery (EOR) or improved oil recovery (IOR) methods will be applied as a pilot test.

The total investment estimated for the development project amounts to $400 million – $227 million for direct expenditure, $60 million for indirect expenditure, and $113 million for production cost.