Iran Looks To Close More Deals But Oil Majors Are Cautious

19 Jul 2017   Iran

Iran is on track to reach a major national milestone this year, if the nation’s oil spokesmen are to be believed. On Wednesday deputy oil minister Amir Hossein Zamaninia predicted oil production would reach 4 million bpd by the end of 2017, and certainly exceed that level by the end of the Iranian calendar year (March 2018). Since international sanctions on its oil and gas industry were lifted in January 2016, Iran has managed to increase production to pre-sanctions levels, reaching 3.8 million in May 2017, the highest level in seven years. But 4 million bpd, long a national goal and symbolic of a full recovery, is now within reach. Iran, the third-largest producer in OPEC, agreed to the group’s production cuts last year and to their extension in May. Citing its recovery from sanctions, Iran was exempt from production cuts, allowing its output to exceed 3.7 million bpd. […]

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