Iran launches its plan on oil export boost as sanctions removed
Baku, Azerbaijan, Jan. 17
By Umid Niayesh- Trend:
Iran's plan to increase its oil export by 500,000 barrels per day has entered into force, as international sanctions against the country have been removed.
The oil ministry issued the relative order on Jan. 17, Iran's official IRNA news agency reported.
The international sanctions imposed on Iran with regard to its nuclear program have been removed as the Joint Comprehensive Plan of Action (JCPOA, aka nuclear deal) entered the implementation phase on Jan. 16.
Iranian officials have repeatedly announced that Tehran will increase its current oil export of one million barrels per day by 500,000 barrels as soon as sanctions are removed.
The figure is planed to increase by another 500,000 to two million barrels per day within a six month period at the next step.
Iran's current oil production is estimated to be around 2.8 million barrels per day (mbpd), of which about one million barrels are exported.
Iran's oil output was about 3.7 mbpd in 2011, but it decreased due to western sanctions, imposed in mid-2012.
During the sanction period, Iran gave up its market share to other countries and the country's customers were limited to China, India, Japan, South Korea and Turkey.
Iran and the P5+1 group of countries (the US, France, the UK, Germany, China, and Russia) in July 2015 agreed a landmark nuclear deal to curb Tehran's sensitive nuclear activities in return for the lifting of international sanctions on the Islamic Republic.