Iran discovers new oil field

TEHRAN, July 14 (UPI) -- A new oil field in the western Iranian province of Khuzestan on the border with Iraq and the Persian Gulf holds 1.1 billion barrels of crude, officials said.

Iranian Petroleum Minister Gholamhossein Nozari said during the weekend that officials had discovered a new oil field in the energy-rich province, the Iranian Press TV said.

"A new oil field has been found in northern parts of Khuzestan's Andimeshk city," he announced to reporters during a news conference.

He also challenged the notion that the rise in world energy prices was due to supply concerns, saying market speculation and the declining value of the U.S. dollar were to blame.

The minister said the new Khuzestan field could help reduce world prices and stabilize the world energy market, adding there could be an additional 230 million barrels worth of oil there once its full capacity was assessed.