Iran says it will continue exporting oil

Iran says it will continue exporting oil

Iran insists on exporting at least 1.5 million barrels per day (bpd) of oil, triple May’s expected levels under US sanctions, as a condition for staying in an international nuclear deal, sources with knowledge of Iran-EU talks said.

BLOCKING THREAT

The sanctions have already more than halved Iranian oil exports to 1 million bpd or less, from a peak of 2.8 million bpd last year. Exports could drop to as low as 500,000 bpd from May, an Iranian official told Reuters this month.

Iran has threatened to block the Strait of Hormuz – a major oil-shipping route – and disrupt crude shipments from neighboring countries if Washington succeeds in forcing all countries to stop buying Iranian oil.

Iran’s Supreme Leader Ayatollah Ali Khamenei set out last year a series of conditions for European powers if they wanted Tehran to stay in the nuclear deal, including continued purchases of Iranian oil. Khamenei did not specify which minimum level of oil sales Iran would accept to stick with the deal, or keep the Strait open.

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