Oil expert’s prognosis: Iran can export about 400,000-500,000 barrels of oil

Oil&Gas Materials 14 May 2019 15:48 (UTC +04:00)

Baku, Azerbaijan, May 14

By Elnur Baghishov – Trend:

By the end of this year, Iran may be able to export only 400,000-500,000 barrels of oil per day, Dr. Iman Nasseri, managing director of Middle East department at Facts Global Energy (FGE), told the Tejaratnews website, Trend reports.

According to Nasseri, this volume of oil under the US sanctions. He added that China will buy about 260,000 barrels of this amount. "Iran's debt for investments made by China for the expansion of Iran's Yadavaran oilfield will be repaid by sending 60,000-100,000 barrels of crude oil daily," he said.

Nasseri stated that in the next 12-18 months, in accordance with this deal, Iran will sell 200,000 barrels of crude oil to China's Zhuhai Zhenrong Corporation and 60,000 barrels to China Petroleum & Chemical Corporation (Sinopec) .

"The remaining oil will be sold in small quantities to neighboring countries, including Pakistan, India and Turkey," he said.

In his words, due to the sanctions imposed on the sale of Iranian oil, attractive discounts could be made for the customers. Thus, the foreign exchange revenue made from such volumes of oil exports (400,000-500,000 barrels) may be much lower, Nasseri .

The US imposed sanctions on Iran's oil sector in November 2018, while providing a six-month exemption period for eight countries buying oil from Iran. The period ended on May 2, 2019.