Iran gears up for new oil exports

Iran has announced that it is ready to ramp up oil exports by 500,000 bopd, as the government on Sunday ordered expanded production and the readying of oil terminals for an increase in exports.

Sanctions on Iran’s energy industry were lifted on Saturday after the International Atomic Energy Agency (IAEA) determined the country had fulfilled obligations regarding its nuclear programme.
Following day-long final negotiations in Vienna between high-level representatives, including Iranian Foreign Minister Mohammad Javad Zarif and US Secretary of State John Kerry, the IAEA released its final report confirming compliance, triggering the sanctions relief.
Iranian President Hassan Rouhani described the step, known as Implementation Day, as a “glorious victory,” while Minister Zarif called it a “good day for Iran.”
The news shifted oil prices downward – with Brent falling below USD 28 per barrel – and shook stock exchanges in Middle Eastern producers such as Saudi Arabia, which lost 5% in its benchmark Tadawul All Share Index.
Meanwhile, the Tehran Stock Exchange’s TEDPIX index rose 0.9.%.
Saturday’s negotiations also saw a prisoner swap between Iran and the USA that marked a major step forward in diplomatic relations between the countries.

Photo courtesy of Bundesministerium für Europa, Integration und Äusseres.