Abbas Maleki, a professor at Sharif University, said in an interview with Iran newspaper on Sunday that the current situation of oil prices is considered critical for importers; therefore, the capacity of producing extra amount of crude can balance the energy market.
According to the university professor, Iran has a significant position in international oil market, because the country can boost production level in the short term in order to avoid imbalance and meet energy demands.
The crude oil prices stand at the top of values over the eight years, he said, warning that signals indicate the price hike will continue in the future.
Vast majority of scenarios prepared by institutes studying energy and international oil companies predict that demand for the energy is booming, Maleki said, noting that containment of the COVID-19 pandemic will help thrive economic situation of many countries as it is happening now in the US and Europe.
As to different factors, which affect the oil price, he argued that geopolitics, policy, foreign policy, structural and economic issues have had great impacts on the energy prices since 1850.
Although, prediction of oil price seems to be impossible, but it is expected to continue growth in the future, the academic said, adding that because of demand growth, lack of supply and the issue of instability are affecting renewable energies.
Maleki went on to say that Iran enjoys the proper opportunity to be easily exported to Europe, East Asia and Africa, and that its special geographical situation because of two seas in northern and southern country provide Iranians and their customers with great chance to trade crude oil.
He further urged for export of natural gas following the increase of oil production and transport in the future.
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