TEHRAN, Iran, April 13
Trend:
Iran's export of oil products will be affected by OPEC output cut decision, said the former head of Iranian Oil, Gas and Petrochemical Products Exporter's Union.
Hassan Khosorjerdi has discussed the issues related to 23-percent oil output cut in an interview with Trend.
"With regard to the situation in Iran, we do not play any role in cutting output issue. Saudi Arabia and Russia are the main players in this decision and each one has to reduce the output by 2.5 million barrels per day," he said. "This action can have direct effect on oil price increase the oil price."
"In terms of the oil sale by Iran, the officials seek to sell 1 million barrels of oil per day," Khosorjerdi said adding that latest decisions will affect the global market.
In his words, the cut will be in favor of Iran.
"Unfortunately, the coronavirus spread has limited transportation of vehicles that carry oil products," he said. "Iran's petrochemical and oil products export was effected by fall of oil price and drop of the demand, but the possible changes following in Russia and Saudi Arabia decision in reducing production will resume Iran's oil products export in market."
"Iran has been effected by the fall of prices in the market and even petrochemical products' export to neighbor countries is facing serious problems," Khosorjerdi said.
In his view, the output cut and possible cooperation of Saudi Arabia, Russia and the US in limiting oil supply will finally be approved.
"The OPEC+ group was producing about 45 million barrels per day and this continued until Thursday agreement," he said.
Under the new OPEC agreement, all members should reduce their production by 23 percent, while Saudi Arabia and Russia should reduce production by 2.5 million barrels per day, while Iraq shall decrease the output by more than 1 million barrels in May and June.