Jul 26, 2014, 7:27 PM
News Code: 2732458
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Iran set to regain its status in oil market

Tehran, July 26, IRNA – Tehran is ready to boost oil output in a short time, once the Western sanctions on the country are lifted, a senior official with National Iranian Oil Company (NIOC) said on Saturday.

Mohsen Qamsari, director of NIOC international department, told IRNA that Iran is still in contact with its traditional customers.

"As the Oil Minister said, we are capable of producing four million barrels a day," Qamsari said, adding, the amount of increase in Iran's oil exports will depend upon the global demand.

"In the past two years that sanctions intensified, we were replaced by some producers and refineries found new oil suppliers."

Qamsari said the return of traditional buyers of Iranian oil is highly connected with Tehran's nuclear talks with the six world countries – the P5+1.

Although Iran has been in contact with its traditional buyers, no new contract was signed over the past two years due to intensified sanctions on the country, the official said.

He said that European countries that used to be the main importers of Iranian oil, have currently no contract for buying crude from Iran.

On January 23, the European Union imposed sanctions on the imports of Iranian crude, so the European companies refused to renew their annual contracts with Iran, he said.

Greece and Spain, two main European clients of Iranian crude oil, sought new suppliers after imposition of sanctions.

Sri Lanka which used to import nearly 90% of its oil needs from Iran before the sanctions has now stopped buying oil from the OPEC member.

South Africa and Malaysia, two other clients of Iranian crude, have also stopped importing from Iran in recent years.

Under the terms of the Geneva Deal struck between Iran and the P5+1 last November, China, Turkey, India, Japan and South Korea are allowed to buy crude from Iran.

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