Iran is set to start production of 10,000 barrels a day (b/d) from the South Yaran oil field from March 2017.
Around 18 wells had been drilled and installation of 15 rigs completed, said Homayoun Kazemeyni, head of the fields development plan at Irans Petroleum Engineering & Development Company (Pedec) in comments reported by Shana, the news agency allied with Irans Oil Ministry.
National Iranian Drilling Company, Puya Energy Kish, Naft Kar and Khatam al-Anbia Construction, which is controlled by the Iranian Revolutionary Guard Corps are in charge of drilling.
The oil field is divided into north and south sections and is shared with Iraq and contains around two billion barrels of crude oil.
Iraq has already begun recovery of around 200,000 b/d from the southern field.
Iran is developing the field for recovery of 50,000 to 60,000 b/d of crude oil, 60 million cubic metres of gas and has planned construction of 30 wells.
However, production target had been halved on the basis of latest studies added Kazemeyni.
Iran, which has been exempt from the Opec production cuts, which will be implemented for six months from January has begun crude extraction from Yadavaran, North Azadegan and North Yaran oil fields in November 2016.