By Abdul Kerimkhanov
National Iranian Oil Company (NIOC) plans to deliver 1 million barrels of crude oil to the Iranian Energy Exchange (IRENEX) on January 21, said a senior official of NIOC.
This will be the third time a state company offers oil to the private sector in the international ring IRENEX.
NIOC’s foreign relations director, Said Khoshru, declared that oil will be sold in batches of 35,000 barrels at a price of $ 52.42 a barrel.
He noted that purchases can be made in hard currency or in riyals, which makes this round of offers different from previous ones.
The official also stated that NIOC had obtained the permits for the sale of 3 million barrels of oil on IRENEX, and the company would act accordingly on future sales.
Iran holds some of the world’s largest deposits of proved oil reserves, ranking as the world’s fourth largest reserve holder of oil. Iran also ranks among the world’s top 10 oil producers.
U.S. President Donald Trump accused Iran of developing nuclear weapons technology. Tehran maintains that it seeks atomic power solely for civilian purposes.
On November 2, Washington announced that it would grant eight countries permission to buy Iranian oil when imposing sanctions on Tehran from November 5 to 180 days without the possibility of extending this period.
On November 4, 2018, the U.S. re-imposed all remaining secondary sanctions on Iran that were previously lifted under the Joint Comprehensive Plan of Action (JCPOA). This is the final action required to re-impose Iranian sanctions since President Trump's May 8, 2018 announcement of the U.S. withdrawal from the JCPOA. The U.S. initially imposed certain sanctions on August 7, 2018.
These sanctions were imposed on Iran's port operators and shipping and shipbuilding sectors, on petroleum-related transactions with the National Iranian Oil Company (NIOC), Naftiran Intertrade Company (NICO), and the Central Bank of Iran, on transactions by foreign financial institutions (FFIs) with the Central Bank of Iran, on the provision of specialized financial messaging services to the CBI and Iranian financial institutions, on the provision of underwriting services, insurance, or reinsurance and on Iran's energy sector.
Abdul Kerimkhanov is AzerNews’ staff journalist, follow him on Twitter: @AbdulKerim94
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