Iran diesel oil exports to rise by 7-fold

Oil&Gas Materials 3 September 2014 18:41 (UTC +04:00)

Tehran, Iran, Sept. 3

By Milad Fashtami - Trend:

Iran has signed new contracts with neighboring Afghanistan and Iraq to export diesel oil.

The new contracts will increase Tehran's exports by 7-fold, Iran's Mehr News Agency reported on Sept. 3.

The National Iranian Oil Products Distribution Company is in negotiation with three private companies to increase diesel oil exports to Afghanistan.

Naser Sajjadi, managing director of National Iranian Oil Products Distribution Company, said Iran plans to export 2.5 million liters of diesel oil to Iraq per day, Iran's Shana news agency reported on Sept. 2.

"The two countries have finalized a deal, based on which Iran will export 2.5 million liters of diesel oil to Iraq per day," he said.

"Diesel oil will be supplied to Iraqi power plants," he said, adding that over the past 12 months, Iran exported 131 million liters of diesel oil to different countries, mainly to Iraq.

Iran's deputy oil minister Abbas Kazemi said on Aug. 6 that diesel oil export was resumed, adding that Iran exported its first consignment of diesel oil to Afghanistan after 8 years.

"The supply of natural gas to power plants is sufficient and the need to supply diesel oil to the power plants has been removed. So, the surplus of diesel oil which is produced in oil refineries will be exported", Kazemi said, Iran's Mehr News Agency reported.

A year after ex-President Mohammad Khatami took the office in 1997 Iran not only became self-sufficient in producing diesel oil but also started to export the surplus amount.

The situation remained the same during his eight years in office. But once Mahmoud Ahmadinejad became Iran's president, the country once again started to import diesel oil.

Edited by CN