Iran seeks to achieve oil output goal by 2022

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    Iran expects an increase in oil production up to 4.5 million barrels per day by 2022.

    Iran’s oil production will reach the level of 4.5 million barrels per day in five years, RIA Novosti reported.

    The increase in production will be due to an increase in production at the Western Karun field by 420,000 barrels per day, and 280,000 barrels per day from oil fields in central and southern Iran.

    Currently, the volume of oil production stands at 3.8 million barrels a day.

    Gas production at the same time will reach 1.3 billion cubic meters of gas per day, gas condensate – 864,000 barrels per day for the same period. The growth will occur due to the South Pars deposit. The production of liquefied natural gas will reach the level of 10.5 million tons per year, ethane – 8.8 million tons per year.

    The South Pars field is a natural-gas condensate field located in the Persian Gulf. It is by far the world’s largest natural gas field. Iran and Qatar share ownership of the field.

    The total gas reserves amounted to12 trillion cubic meters.

    Prior to the introduction of international sanctions against Iran, the Islamic Republic produced oil in the amount of over 4 million barrels per day. After removing the restrictions in January 2016, the country seeks to increase oil exports in order to regain market share lost due to sanctions.

    Moreover, Iran is not part of the OPEC agreement, despite the fact that is one of the members of the Cartel.

    The Iranian officials noted that many countries have increased their oil production levels while Tehran was under the sanctions and now when these sanctions have been lifted, Iran intends to increase the level of production.

    In November 2016, the OPEC summit was held in Vienna, where OPEC members reached an agreement on reducing oil output by 1.2 million barrels per day. In December 2016 was a meeting of oil producers outside the OPEC. Following the meeting, was signed an agreement to reduce oil production by a total of 558,000 barrels per day starting from January 2017.

    The deal participants agreed to extend the production adjustments for nine months, on May 25, 2017.

    The next meeting of the Joint OPEC-Non-OPEC Technical Committee (JTC) of OPEC is scheduled for September 22 in Vienna.

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