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Iran Reports Growth in Exports of Oil and Gas

iran oil and gas export

Iran has exported $26.46 billion worth of crude oil since the beginning of its calendar year in March, contributing to a 7% increase in total trade, which stood at $112 billion during the period. This information comes from customs data from Tehran, as reported by Reuters.

For the upcoming year, Iran’s government has made budget plans based on the expected daily average crude oil export rate of 1.35 million barrels, at an average price of $65 per barrel.

Gas exports, on the other hand, did even better, rising by an impressive 139% between March and October, according to the Trade Promotion Organization of Iran, a governmental agency. They topped $2 billion in terms of value, according to the same source.

Earlier this year, the oil minister, Javad Owji, stated that the government anticipated adding 300,000 bpd from the current production rate to reach 3.6 million barrels daily by the start of the next calendar year.

Iran has recently signed six contracts for the development of oil and gas fields, including deals to develop joint fields in the west of Karun, such as Azadegan and Yaran. The minister stated that the total value of the contracts is $14.5 billion.

Earlier this month, Owji also mentioned that Iran’s oil production has increased by 50% since the current administration came into office two years ago.

Although some analysts attributed Iran’s higher oil sales abroad despite the current sanctions to the U.S. not wanting to clamp down too much on exports as it looks to keep oil markets well supplied, Iranian exports could come under pressure as the United States signaled last month that it would tighten the sanctions on Iran’s oil industry.

Oil and Bitumen Prices

On December 27, Brent crude oil was trading in the range of $79.5 – $80.5, and West Texas Intermediate (WTI) was around $74.5.
Bitumen prices in Singapore and South Korea were 455 and 375 USD, respectively. Singapore’s HSFO was $443, and Iran’s bulk bitumen settled at $275.

Prepared by Rumays specialists group.

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Iran Reports Growth in Exports of Oil and Gas