Problems in Iran's oil industry continue to aggravate



The country has faced problems with the basic capital, technologies for oil and gas export and the realization of these products recently as a result of the international sanctions because of Iran's nuclear program and the pressure exerted by the U.S. on the world's major oil companies.

In an interview with İSNA agency, Iran's Oil Export Union head Hamid Husseini confirmed that India, Japan and China have reduced oil import from Iran. He said that the Islamic republic must expand cooperation with small markets, countries and companies, because they are not under the U.S influence.

Today, Iran sells 2.3 million barrels of oil daily, 85 percent of it falls to developed countries.

The list of countries that receive more than 100,000 barrels of oil from Iran daily includes India (250,000 barrels), China (200,000 barrels), Japan (480,000 barrels), Italy (160,000 barrels), Spain (210,000 barrels) and France (100,000 barrels). They have political and economic relations with the United States at a high level.

Professor of Iranian origin Rza Taghizade (Glasgow University) told Trend that the replacement of big oil companies and countries by small companies, markets and countries will create big problems for Iran.

Unreliability of small companies, lack of insurance of oil supply, the problems with making payments, as well as problems with transferring money to bank accounts are mong the negative points.

The decrease in sales volume of Iranian oil to China by 50 percent over the past two months, i.e. up to 200,000 barrels per day, and suspension of import of Iranian oil (90,000 barrels per day) by the Indian company Relince must cause concern of the official Tehran.

When President Mahmoud Ahmadinejad took office in 2005 in Iran, the UN Security Council imposed sanctions towards Iran three times. It led to a decrease in investments to this country four times. In 2009, investments amounted to $1.5 billion.

According to the program "Prospects of Iran's 20-year-old development", the country needs investments in oil and gas worth $ 35 billion a year.

According to Iranian Oil Minister Masoud Mir Kazemi, the country needs investments in oil and gas to the amount of at least $25 billion a year. He noted that these investments will be provided through contracts between domestic banks, organizations, and international companies.

Iran has planned to sell securities on the international market worth $ 10 billion to invest the eighteenth and the ninetieth phases of the South Persian project, which includes 50 percent of gas fields of the country.

However, long delay in development of this project, consisting of 28 phases (currently,

seven phases have been implemented) will lead to the pessimistic mood in the matter of purchase of securities. This option is likely to be unsuccessful.

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