Iran determined to regain its share of oil export market

Iran is determined to regain its share of the crude oil export market when sanctions imposed over its nuclear program are lifted, the oil ministry’s website SHANA quoted Oil Minister Bijan Zanganeh as saying on Wednesday.

The former second-largest OPEC producer behind Saudi Arabia aims to boost crude exports by up to 1 million barrels per day (bpd) if Tehran and six major powers finalize a nuclear agreement by a June 30 deadline. The two sides are seeking a deal in which Iran would restrict sensitive nuclear work in exchange for sanctions relief. quotOil-producing countries should create space for Iran when we increase our exports after sanctions are lifted, Zanganeh said. Sanctions imposed by the European Union and the United States have halved Iran’s oil exports to a little more than 1 million bpd since 2012.

Lower oil prices have also caused pain for less wealthy producers, with Iran having repeatedly called for the Organization of the Petroleum Exporting Countries to cut its daily output target and maintaining that increased Iranian production will not cause a price crash. quotNone of OPEC’s members are happy with the current oil prices and the market is oversupplied … Political factors are behind the low prices,quot Zanganeh said. OPEC’s next meeting is on June 5. Zanganeh also declined to confirm or deny a report by Iran’s Mehr news agency on Monday, citing a senior Oil Ministry official as saying that a US delegation will visit Iran by Friday to review energy investment opportunities.

The US sanctions against Iran prohibit Americans from trading directly or indirectly with the country’s oil sector, government or individuals connected with the sector. US companies are also prevented from investing in Iran’s oil and gas industries or trading with them.