BAGHDAD (AP) – Iraq’s government has approved an oil deal with a consortium led by British giant BP PLC to develop a prized oil field in the south.

BP and its partner China’s CNPC were the only winners in Iraq’s first international oil auction in over 30 years in June for development rights for the 17.8 billion-barrel Rumaila field.

Government spokesman Ali al-Dabbagh told The Associated Press Saturday the Cabinet approved the deal Friday. He did not provide further details.

BP will hold a 38 percent stake in the venture, while CNPC will have a 37 percent share. Iraq’s State Oil Marketing Organization will control the rest.

Iraq has the world’s third-largest known oil reserves and has been trying to boost production by welcoming foreign investment.