JP Morgan reveals Iran’s oil production forecasts
Baku, Azerbaijan, May 24
By Aygun Badalova - Trend:
Iran's oil production will amount to 3.7 million barrels per day (bpd) in 2016 and 3.9 million bpd in 2017, according to the forecasts of the US JP Morgan bank's analysts, published in their monthly Oil Market report.
Analysts have raised estimates for Iran's oil output by 0.4 million bpd for the second half of 2016.
They also stressed that the removal of Iranian sanctions has boosted production by 300,000 bpd thus far in 2016.
Analysts expect the country's oil output to be stable at 3.9 million bpd during all quarters of the next year.
Iran's oil production stood at 3.03 million bpd during the first quarter of 2016, showing 230,000 bpd increase in comparison to 2015, according to the US Energy Information Administration (EIA).
The Islamic Republic announced in late 2015 that it would add 0.5 million bpd of crude oil to the production level as soon as the international sanctions on the country are eliminated and the same amount of crude oil would be added to the output level in the second half of 2016.
The sanctions were lifted in mid-January 2016 after implementation of the comprehensive nuclear deal between Tehran and the P5+1 group, which included the US, the UK, France, Russia, China and Germany.
Iran has already rejected the calls by other oil producers to freeze its post-sanctions oil output increase to help stabilize the oil prices.
The country plans to increase its daily output to four million barrels till March 2017.