• 5 minutes Mike Shellman's musings on "Cartoon of the Week"
  • 11 minutes Permian already crested the productivity bell curve - downward now to Tier 2 geological locations
  • 17 minutes WTI @ 67.50, charts show $62.50 next
  • 2 days The Discount Airline Model Is Coming for Europe’s Railways
  • 20 hours Desperate Call or... Erdogan Says Turkey Will Boycott U.S. Electronics
  • 7 hours Starvation, horror in Venezuela
  • 1 day Pakistan: "Heart" Of Terrorism and Global Threat
  • 15 hours Renewable Energy Could "Effectively Be Free" by 2030
  • 15 hours Saudi Fund Wants to Take Tesla Private?
  • 1 day Venezuela set to raise gasoline prices to international levels.
  • 1 day Are Trump's steel tariffs working? Seems they are!
  • 3 mins Corporations Are Buying More Renewables Than Ever
  • 2 days WTI @ 69.33 headed for $70s - $80s end of August
  • 2 days Scottish Battery ‘Breakthrough’ Could Charge Electric Cars In Seconds
  • 8 hours China goes against US natural gas
  • 9 hours Why hydrogen economics does not work
WTI Set For Longest Weekly Losing Streak Since 2015

WTI Set For Longest Weekly Losing Streak Since 2015

West Texas Intermediate crude was…

Shale Profits Remain Elusive

Shale Profits Remain Elusive

Despite higher oil prices, U.S…

Iran Moves Closer To Achieving Gasoline Independence

Refinery

Iran has drastically cut its gasoline imports in recent weeks as it started the second phase of an oil refinery, moving closer to reaching gasoline independence, Reuters reported on Wednesday, citing trading sources.

Iran—OPEC’s third-largest oil producer—has been reliant on gasoline imports for years because of lack of refining capacity and the Western sanctions that had limited the choices for funding and spare parts for refinery maintenance.

Now Iran has started the second phase of the Persian Gulf Star Refinery in Bandar Abbas, which will double the refining capacity of the facility to 240,000 bpd. According to trading sources who spoke to Reuters, production has yet to be ramped up and has yet to meet the highest gasoline quality standards.

“Iran does seem to have significantly reduced its reliance on imports,” Robert Campbell, head of oil products at consultancy Energy Aspects, told Reuters.

“All indications are that imports in March are lower. That coincides with the Iranian New Year, which is usually a strong demand period.”

The Iranian New Year holiday is the peak of the driving season, and gasoline demand jumped earlier this week, with Monday’s gasoline demand the highest on record, according to local media.

Still, Iran’s gasoline imports are expected to sharply drop in March—to around 70,000 tons or 20,000 bpd, from 300,000 tons in December and 120,000 tons in January and February, according to trading sources and shipping data compiled by Reuters.

Iran’s move toward gasoline independence comes as the Iranian nuclear deal looks increasingly shaky after U.S. President Donald Trump sacked Rex Tillerson as Secretary of State and is replacing him with CIA Director Mike Pompeo who is outspokenly hawkish regarding Iran. Analysts think that with the new appointment, the United States may take a harder stance toward Iran that could deepen the uncertainty over the nuclear deal and possible additional U.S. sanctions that could hurt Iran’s oil industry.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News