Denmark’s Maersk Oil has estimated potential output for the second phase of Iran’s South Pars oil deposit at 120,000-140,000 barrels of oil per day, Fars News Agency reported, citing an official at National Iranian Oil Co. (NIOC).

The estimate is part of Maersk Oil’s development study for the second development phase of the offshore oil field, said Gholamreza Manouchehri, NIOC’s vice president for engineering and development.

Maersk Oil, part of Denmark’s A.P. Moller-Maersk, declined to comment. The company signed a memorandum of understanding with NIOC in 2016 “to explore opportunities for future collaboration.”

South Pars stretches into Qatari waters where the oil-bearing layer is called Al-Shaheen and shares the same difficult geological characteristics.

Maersk Oil lost its long-standing agreement to operate Al-Shaheen in June 2016 to Total, which has just taken up operation of the field.