• 1 hour Mexico Says OPEC Has Not Approached It For Deal Extension
  • 3 hours New Video Game Targets Oil Infrastructure
  • 4 hours Shell Restarts Bonny Light Exports
  • 6 hours Russia’s Rosneft To Take Majority In Kurdish Oil Pipeline
  • 12 hours Iraq Struggles To Replace Damaged Kirkuk Equipment As Output Falls
  • 17 hours British Utility Companies Brace For Major Reforms
  • 21 hours Montenegro A ‘Sweet Spot’ Of Untapped Oil, Gas In The Adriatic
  • 23 hours Rosneft CEO: Rising U.S. Shale A Downside Risk To Oil Prices
  • 24 hours Brazil Could Invite More Bids For Unsold Pre-Salt Oil Blocks
  • 1 day OPEC/Non-OPEC Seek Consensus On Deal Before Nov Summit
  • 1 day London Stock Exchange Boss Defends Push To Win Aramco IPO
  • 1 day Rosneft Signs $400M Deal With Kurdistan
  • 1 day Kinder Morgan Warns About Trans Mountain Delays
  • 1 day India, China, U.S., Complain Of Venezuelan Crude Oil Quality Issues
  • 2 days Kurdish Kirkuk-Ceyhan Crude Oil Flows Plunge To 225,000 Bpd
  • 2 days Russia, Saudis Team Up To Boost Fracking Tech
  • 2 days Conflicting News Spurs Doubt On Aramco IPO
  • 2 days Exxon Starts Production At New Refinery In Texas
  • 2 days Iraq Asks BP To Redevelop Kirkuk Oil Fields
  • 3 days Oil Prices Rise After U.S. API Reports Strong Crude Inventory Draw
  • 3 days Oil Gains Spur Growth In Canada’s Oil Cities
  • 3 days China To Take 5% Of Rosneft’s Output In New Deal
  • 3 days UAE Oil Giant Seeks Partnership For Possible IPO
  • 3 days Planting Trees Could Cut Emissions As Much As Quitting Oil
  • 3 days VW Fails To Secure Critical Commodity For EVs
  • 3 days Enbridge Pipeline Expansion Finally Approved
  • 3 days Iraqi Forces Seize Control Of North Oil Co Fields In Kirkuk
  • 3 days OPEC Oil Deal Compliance Falls To 86%
  • 4 days U.S. Oil Production To Increase in November As Rig Count Falls
  • 4 days Gazprom Neft Unhappy With OPEC-Russia Production Cut Deal
  • 4 days Disputed Venezuelan Vote Could Lead To More Sanctions, Clashes
  • 4 days EU Urges U.S. Congress To Protect Iran Nuclear Deal
  • 4 days Oil Rig Explosion In Louisiana Leaves 7 Injured, 1 Still Missing
  • 4 days Aramco Says No Plans To Shelve IPO
  • 7 days Trump Passes Iran Nuclear Deal Back to Congress
  • 7 days Texas Shutters More Coal-Fired Plants
  • 7 days Oil Trading Firm Expects Unprecedented U.S. Crude Exports
  • 7 days UK’s FCA Met With Aramco Prior To Proposing Listing Rule Change
  • 7 days Chevron Quits Australian Deepwater Oil Exploration
  • 7 days Europe Braces For End Of Iran Nuclear Deal
Why Petrol Powered Cars Aren’t Going Anywhere

Why Petrol Powered Cars Aren’t Going Anywhere

Internal combustion engines are still…

5 Players To Watch In The FinTech Revolution

5 Players To Watch In The FinTech Revolution

Artificial Intelligence and Blockchain tech…

Iranian Expected To Export New West Kharoon Crude By End Of 2016

Oil Rig

Iran’s aim to reach pre-sanction oil production levels could receive a welcome boost according to comments made by a senior official at the National Iranian Oil Company (NIOC) to the Reuters news agency.

Seyed Mohsen Ghamsari, director for international affairs at the state-controlled NIOC, expects construction of facilities near Kharg Island in the Gulf to be finalized “sometime by the end of this year.” Ghamsari added that the NIOC anticipates exporting a new grade of crude called West Kharoon once construction of the pipeline and Kharg Terminal are complete.

Initial output from the finished facility is expected to reach nearly 300,000 barrels per day (bpd), and will likely help Iranian production that Ghamsari said is currently at around 3.8 million bpd and might reach 4.0 million bpd in a few months.

“We are ready to negotiate the level of production as soon as we come back to the production before sanctions,” Ghamsari stated. He noted that output was a little higher than 4 million bpd prior to the sanctions that were removed earlier this year over Iran’s controversial nuclear program.

Seyyed Pirouz Mousavi, Managing Director of Iran Oil Terminals Company (IOTC), explained to the Mehr News Agency last week that four new tanks at the Kharg Terminal are anticipated to be in service later this month; thus, boosting crude storage capacity at the Gulf port of Genaveh by 10 million barrels.

“The total volume of storage capacity in Kharg Oil Terminal has now reached 28 million barrels,” noted Mousavi, who added that increased investment from the private sector has been made in the building of new storage tanks.

The Iranian government previously claimed that it would support a proposal by some OPEC members to freeze oil supplies as soon as the country returns to pre-sanction output levels. In this regard, the anticipated export boost of West Kharoon will help support Iran’s aim within OPEC.

Related: Is Putin’s Support For An OPEC Freeze A Game Changer?

Since sanctions were lifted in January, Iran’s crude exports to key markets in Europe and Asia have risen sharply but are expected to level off this month.

West Kharoon purportedly is of similar quality to Iraq’s Basra Heavy crude, with an API gravity of between 22 and 26 degrees and a sulfur content above 2 percent. The crude blend was originally scheduled to be introduced to the market earlier this year.

By Erwin Cifuentes 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