Sanctions on Iran's oil and gas sector could be lifted in the first week of January, according to Amir Hossein Zamaninia, Iran's deputy oil minister for international affairs Saturday, as the country seeks an agreement with OPEC to accommodate its extra barrels.
"After finishing some paper work, I think the sanctions will be lifted in the first week of January," Zamaninia told reporters as Iran released its new petroleum contracts at an event in Tehran Saturday.
Zamaninia said there would be no issue with finding a market for the extra barrels of Iranian crude once the sanctions are lifted.
"I think we won't have any big problem with selling 500,000 b/d of oil that are coming ahead. It can go to Europe, it will go to Asia and Africa," Zamaninia said, adding that Iran had already been approached by customers in Europe, Asia and Africa.
He was also hopeful of finding an arrangement with its OPEC partners to accommodate the extra barrels.
"It will not have much impact on oil price. But we hope to reach an agreement with OPEC so that this additional oil supply by Iran is accommodated within the formal ceiling [of 30 million b/d]. Iran's proposal to OPEC in the next meeting is this," he said.
Another official, Roknoddin Javadi, the managing director of state-owned National Iranian Oil Company echoed this view, saying Saturday that OPEC should accommodate Iran's oil, or prices would be "harmed" more.
"If OPEC members comply with the limit that has been set, the global market has the capacity to absorb our oil [exports increase]. Therefore, we expect OPEC members to return to their previous share of exports or we [will] gradually regain ours and their share decreases," Javadi said.
"We will take back our share, it's inevitable for them [OPEC members]. As we speak, we have already reached agreements with many buyers. It's just if they don't cooperate, oil price will be pressured more. We will regain our previous share by all means," he said.
