Thursday 13 June 2024

Iran ‘lacking capital, technology to boost oil output’

DUBAI, January 11, 2017

While Iran  has  delivered  on  its  plans  to  boost  oil production  in  the  immediate  term, it has not been able to access the capital and technology it desperately needs to boost production beyond the short term, a report said.

Output  has  already reached 3.7 million barrels of oil per day (mbpd) production in October 2016, surpassing pre-sanctions levels of 3.6 mbpd, added the report titled “Iran’s impressive return: more to follow?” in the December issue of Monthly Energy Commentary from Arab Petroleum Investments Corporation (Apicorp).

The country’s exports have more than doubled to 2.2 mbpd compared with a year ago, the report highlighted.

 Iran has also regained its market share in Europe. In Asia, where the bulk of Iran’s  one million mbpd exports headed during sanctions, relations are getting even stronger and exports have surged to above 1.7 mbpd.

While Iran’s return has been impressive, favourable  terms  under  the  International  Petroleum  Contract  (IPC),  and  the country’s  ability  to  assure  a stable political landscape will both be necessary for further capacity growth, said the Apicorp report. – TradeArabia News Service

Tags: Iran | Exports | oil production | Sanctions |

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