Mehr News Agency reported that Iran will soon sign a deal with a Ukrainian company to develop three heavy crude oil fields with an estimated value of USD 1 billion.

Accordingly, the Petroleum Engineering and Development Company, a subsidiary of the National Iranian Oil Company, will sign the contracts for development of Mond, Boushgan and Kuh e Kaki oil fields with Ukraine's Gazprom Pars Company.

The deal follows Iran's recent deal with the Russian Tartarstan's Tatneft Group for the development of the Zagheh oil field.

The Mehr News Agency reporter's contact with the NIOC shows that the precise investment by the Ukrainian company for the development of the three oil fields is not determined yet; however, the initial estimate is nearly USD 1 billion.

According to a comprehensive plan drawn up by the Oil Ministry, two phases have been predicted for the development of these three heavy crude oil fields. The first phase begins with a 5000 bpd production and reaches to 10,000 barrels per day to 12,000 barrels per day. In the second phase around 25,000 barrels will be extracted from these fields.

Formerly, Iran had negotiated with a Chinese Australian consortium for the development of the three oil fields. So far, 18 heavy and extra heavy oil fields have been discovered in Iran.

The Ferdowsi oil field with reserves of 31 billion barrels of heavy crude is considered one of Iran's largest oil fields.

(Sourced from www.mehrnews.com)