The war games will play out in the strategic Strait of Hormuz as pressure mounts on Tehran months after the United States re-imposed sanctions on Iran, targeting its vital oil sector.
The Fateh has subsurface-to-surface missiles with a range of about 2,000 kilometers (1,250 miles), capable of reaching Israel and U.S. military bases in the region.
PressTV's website says the encounter occurred March 21 in the strategic Strait of Hormuz in the Persian Gulf, the passageway for nearly a third of all oil traded by sea.
