Iran to boost oil exports after sanctions are lifted

Iran oil minister Bijan Namdar Zangeneh referred to the world’s leading Gas Exporting Countries Forum (GECF) which is to be held in Tehran next week, and said: “Two ministerial meetings will be held on Saturday, 21st of November 2015, the morning session of which is the regular meeting of the ministers and the meeting in the afternoon will be extraordinary”, reported the news agency of Iran oil minister.

“The drop in prices won’t be a concern for us”, Zanganeh said.

“Buying the oil refineries or their shares overseas is the policy of Iran after the lifting of sanctions”, said Abbas Kazemi, head of the National Iranian Oil Refining and Distribution Company.

Sri Lanka imported over 90% of it’s oil from Iran before worldwide sanctions on Tehran came into its place, over its nuclear programme.

Chronically low oil prices have, in recent days, been on the slide once, and as of Monday have pushed IFO380 bunker prices in a few key ports including Rotterdam and Houston to under $200 per metric tonne (pmt).

“Iran’s oil negotiations have started with Sri Lanka”, the Mehr news agency quoted him as saying. Brent crude, a global pricing benchmark, has tumbled 30 percent since the group’s decision in June.

“Our oil will probably double within a short while of sanctions being lifted”, Zanganeh said, without specifying the amount of such an increase in exports.

Sanctions on Iran are expected to be lifted in early 2016, allowing for the 500,000 bpd hike, followed by a further ramping up of one million extra bpd one year later, Zanganeh said.

Iran now produces around 2.8 million bpd, compared to 4.0 million bpd in 2011 before the heaviest USA and European sanctions on its oil sector kicked in.