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World oil markets to embrace Iran crude export: Expert

Tehran, IRNA - Given the fact that the global oil markets will experience increase in demand for additional four million barrels per day in 2022 as a result of containing the COVID-19 pandemic, Iran's crude export can help balance the supply and demand chain, an Iranian official said.

Iran’s former OPEC Governor Mohammad-Ali Khatibi told IRNA on Monday that the administration of President Ebrahim Raisi, particularly the Ministry of Petroleum, tried to increase crude oil production, because international demand for energy has risen and it is expected that the amount will increase to additional four million barrels per day.

Out of the four million bpd, he said, non-OPEC crude producers will supply three million bpd and the remaining one million will be supplied by OPEC member states, he noted.

The non-OPEC producers are supplying maximum capacity of crude oil production, so it would be doubtful that they can increase their production capacity, he added.

The oil market expert further noted that some purchasers are sure that anti-Iran sanctions would be lifted; therefore, they can rely on Iranian crude export as a reliable source of supply.

Moreover, relative control of the coronavirus pandemic has provided Iran with an opportunity to have a say in the oil markets, Khatibi added.

As to US President Joe Biden's claim that the world does not need Iranian oil export, the expert noted, if the US administration is sure, they should lift anti-Iran sanctions to see how the Islamic Republic can restore its position in world oil markets.

Despite the fact that there has not been any new and strong purchaser in the oil markets, Iran has been able to boost crude production and export via barter, the analyst argued, noting that efforts made to find new importers and the increase of demand have played a role in this regard.

Source: Islamic Republic News Agency - IRNA


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