Iran oil exports fall further; sanctions bite
London, June 20, 2012
Iranian oil exports are falling further in June as more customers in Europe and Asia stop or scale back purchases ahead of European Union sanctions aimed at slowing Tehran's nuclear programme.
Crude exports from Iran this month have dropped to between 1.2 million barrels per day (bpd) and 1.3 million bpd, according to a firm that tracks oil shipments and sources at oil companies.
Shipments in May were between 1.5 million bpd and 1.6 million bpd, according to the same sources.
Many European customers of Iranian oil, including oil companies Total SA and Hellenic Petroleum, have already stopped buying in advance of the EU ban on Iran crude from July 1.
The EU in January embargoed purchases of Iranian crude but let those with existing contracts continue until July 1. The West suspects Iran is trying to develop atomic bombs, while Tehran says its nuclear work is solely for civilian purposes.
Last year, Iranian crude exports were running at about 2 million-2.2 million bpd with total production, including domestic consumption, at 3.5 million-3.6 million bpd. – TradeArabia News Service