Zangeneh: Iran's Oil Exports Reach 2 Million Barrels Per Day

Bijan Namdar Zangeneh, Iran's Minister of Oil, announced on Sunday, April 15, that the volume of Iran's oil and gas condensate exports has now reached over 2 million barrels per day. According to the Oil Ministry's information website, Zangeneh, during a Nowruz meeting with managers and staff of the oil industry, declared that the main priorities for the ministry in the year 1395 (2016) are to complete the unfinished phases of South Pars and the Persian Gulf Star Refinery. Earlier, in an interview with the Mehr News Agency published on Saturday, the oil minister stated that "the capacity for production and export of oil in Iran will increase until it reaches the level prior to the imposition of sanctions." These remarks by Zangeneh came a day after Mohammed bin Salman, the Crown Prince and Minister of Defense of Saudi Arabia, stated that his country would only maintain its oil production if other major producers like Iran, Russia, and Venezuela did the same. According to IRNA, during the sanctions, Iran was exporting 1 million barrels of oil per day. The report indicated that Iran's oil production has increased from 2.8 million barrels to about 3.2 million barrels per day since the lifting of sanctions. Zangeneh also discussed the details of his last meeting with Nasser Siraj, the head of the Iranian Inspection Organization, regarding oil contracts, stating that "in some areas where clarification was needed, explanations were provided, and we emphasized that we are ready to address the concerns of the Inspection Organization." He added that no other issues remain, and this was the final meeting with the Inspection Organization on this matter. Previously, some conservative members of parliament had criticized the new oil contracts, including Ahmad Tavakoli, who deemed them "against the interests of the country." Following that, in Bahman of the previous year, Nasser Siraj announced that the Inspection Organization had reviewed the new oil contracts and submitted its report to the heads of the three branches of government. According to Fars News Agency, he did not clarify whether any violations were found during the review. Over the past months, the Iranian Oil Ministry has unveiled a new model of oil contracts with foreign investors. Unlike previous contracts, which were of the buy-back type where foreign companies left the project after the production phase, the new contracts are defined for 25 years. According to the Iranian oil minister, these contracts create the necessary attraction for foreign investment in Iran and are beneficial for domestic companies.