(Sarah Shourd article updated with information on her release.)

NEW YORK (

TheStreet

) -- Iran has released American Sarah Shourd from prison in Tehran on $500,000 bail where she has been detained by Iran for more than a year, reports say.

Shourd is reportedly en route to the Swiss embassy and will travel to meet her mother in Oman.

Shourd, 32, was hiking with two friends along the Iran-Iraq border more than 13 months ago when they were arrested by Iranian authorities. The group was charged with espionage and illegally entering Iran.

Her friends Shane Bauer and Joshua Fattal, both 28 years old, have not been given permission to leave yet. Reports say the two could be held in jail for over two months. The three hikers will still have to stand trial for the espionage charges.

Iran may be releasing Shourd because of her deteriorating health. Her family has said she may have cancer, and that she did not get the proper medical treatment while in jail.

-- Written by Theresa McCabe in Boston.

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