The development of a sedimentary basin during the Late Triassic in northern Iraq marked the initiation of the Neotethys in the region. Sedimentation was influenced by basement block faulting, the disposition of the basin on different tectonic blocks, and the prevalence of arid and semi-arid climatic conditions. Sediments deposited included carbonates, evaporites and minor clastics. Carbonates were deposited on a shallow-marine marine shelf (the Kand sub-basin) that received an influx of clastic material at its western and southern margins. A local salina (the Qara Chauq sub-basin) also developed, leading to the deposition of bedded anhydrites and halites. Hydrocarbon prospects are restricted mainly to the NW parts of the Kand sub-basin.