Sat, October 12, 2024

Sanctions Drop Iran’s Crude Sales

Petroleum Products: Landscape of oil refinery industry with oil storage tank and pulution environment.

In a news report, calculations showed petroleum product sales remained stable at nearly $500 million a month from the Islamic Republic together with its shipping data.

Meanwhile, U.S. sanctions on Iran’s oil industry have reduced the OPEC countries’ crude exports by more than 80%.

Sanctions have almost affected Iran’s exports of oil products, mainly fuel oil used for power generation and shipping. Liquefied petroleum gas (LPG) was also used as a cooking gas and petrochemical feed.

In August, Iran’s product exports reached their highest level as oil minister Bijan Zanganeh quoted a statement by a lawmaker. This was after a parliamentary meeting on August 27.

Zanganeh was cited saying, “In exports of products we have no problem.”

Consultancy FGE measures Iran’s product exports at 400,000-500,000 barrels per day. It is exceeding the top end of crude export approximations by other analysts of some 400,000 BPD for July.

Refinitiv Eikon data displays Iran exported more than 230,000 BPD of fuel oil in August. These were all to the United Arab Emirates, slightly above July’s amount of 220,000 BPD.

In July, data intelligence firm Kpler says Iran exported 514,000 tonnes of LPG or nearly 200,000 BPD. This is worth over $180 million at market prices.

These associate with 579,000 tonnes in June. Meanwhile, according to Kpler, China accounted for more than 95% of Iranian LPG exports in June.

Petrochemical Demand on The Market

Head of natural gas liquids and LPG at consultancy Energy Aspects, Samantha Hartke, indicated that her business did not expect Chinese imports of Iranian LPG to subside. China’s new petrochemical capacity is making significant demand for the feedstock.

In addition, Samantha said, “The irony is if not for the U.S.-China trade war, the U.S. would have greatly benefited from this uptick in Chinese demand as a means of mopping up its overabundance of LPG supplies, thanks to shale.”

In a news report, Iman Nasseri, managing director for the Middle East with FGE said that crude oil finds its ultimate buyer in a refinery.

Meanwhile, in fuel petroleum products and LPG, they find their way to possibly thousands of small-scale industrial or residential buyers.

He also added, “The market for these two products is so vast that finding and targeting those individuals is not easy.”

In July, Grace 1, a jumbo tanker loaded with Iranian crude, became the most-watched ship in the world. This was after the British navy held it off the coast of Gibraltar on doubt of carrying oil to Syria.

Since it was released by Gibraltar, the tanker has changed its name to the Adrian Daria and is now sailing in the eastern Mediterranean.

Meanwhile, petroleum products, like crude, declined under U.S. sanctions.

Erich Ferrari, a Washington-based attorney that specializes in sanctions law, stated in a news report, “Non-U.S. persons that are engaged in sanctionable conduct could be sanctioned themselves and be subject to blocking by the U.S.”

Petroleum Products: Land scape Factory - oil and gas industry

Iran’s Oil Capacity

Iran’s oil ministry did not instantly respond to a news report request for comment.

Iran has a refining volume of around 2.23 million BPD, putting it behind regional leader Saudi Arabia.

Despite the challenges in February, Iran showed self-sufficiency in gasoline after the induction of the third phase of its 350,000-BPD Persian Gulf Star refinery.

Recently, shipping data shows Iran has imported barely any petroleum product.

According to Zanganeh, the people of Iran produce gasoline that stands at 105 million liters per day or around 660,000 BPD.

Meanwhile, consumption is around 100,000 BPD below production.

For the first time this year, it has even exported gasoline. It’s gas oil production stands at around 720,000 BPD.

YOU MAY ALSO LIKE

Число заявок на пособие по безработице в США сократилось на 2 000, что свидетельствует о стабильности рынка труда в условиях высоких ставок, а дальнейшие действия ФРС будут иметь решающее значение для экономической стабильности.

Quick Overview Unemployment Claims Dip: Jobless claims fell by 2,000 to 231,000,

Стерлинг достиг отметки $1,32: рост, риски и перспективы

Quick Look Sterling’s Surge: The British pound has surged to a 2.5-year

Доу Джонс вырос на 243 пункта, установив новый рекорд на отметке 41 335,05

Quick Overview Dow Jones Hits Record: The DJIA rose by 243.63 points,

COMMENTS

Leave a Comment

Your email address will not be published. Required fields are marked *

User Review
  • Support
    Sending
  • Platform
    Sending
  • Spreads
    Sending
  • Trading Instument
    Sending

BROKER NEWS

BROKER NEWS