Iran to Boost Oil-Output Capacity as It Bides Time on Sanctions
Iran expands its oil-production capacity anticipating that an eventual end of sanctions would allow it to wrest back market share.
(Bloomberg) --
Iran is expanding its oil-production capacity in anticipation that an eventual end of sanctions would allow it to wrest back its share of the global crude market, according to Oil Minister Bijan Namdar Zanganeh.
“It’s true that our output is low because of cruel and illegal sanctions, but things won’t stay the same,“ Zanganeh said in a speech broadcast on state television. “We need to increase our production capacity to be able to return to the market in full force and restore our share whenever necessary.”
The statements were made on the sidelines of a deal-signing ceremony for the development of Yaran, an oil deposit in the Khuzestan province in the south of Iran. The deposit is shared with Iraq.
Iran’s crude exports took a major hit after the U.S. withdrew from Iran’s nuclear deal and imposed crippling sanctions on the nation’s economy and energy sector.
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