Azernews.Az

By Sara Rajabova

The recent framework nuclear agreement between the P5+1 and Iran and a noticeable warming of attitude towards the Islamic Republic has created favorable opportunities to revive Iran’s ageing energy industry.

Bijan Namdar Zangeneh, Iran’s petroleum minister said the country plans to splash out $180 billion to revive and renovate its oil, gas and petrochemical industries by 2022, Press TV reported.

He said at an energy security summit in Berlin that Iran is determined to restore its role in the world market should international sanctions be lifted.

Zanganeh said Iran has always been a trustful energy supplier, adding the country wants to regain its position in the energy market.

“I believe that the world is gradually readying itself for the post-sanctions era,” Zangeneh said.

His remarks came as foreign companies and investors voiced their interest to return to the country after the removal of sanctions.

A series of sanctions by the U.S. and European countries has reduced Iran’s oil exports to around 1 million barrels per day.

Zangeneh said Iran’s exports must return to its pre-sanctions level of a minimum of 4 million bpd.

“To reach this level, we need between seven and eight months and ultimately three years to produce 5.7 million barrels per day,” IRNA quoted him as saying.

Zangeneh said any nuclear deal between Iran and the West must include the cancellation of all financial and energy sanctions. “What is important after the abolition of sanctions is that we should regain our share in the global market.”

Iran, which produced more than 4 million barrels a day in 2008, lost its market share to other producers amid sanctions imposed to curb its nuclear energy program. The country reportedly pumped some 2.77 million barrels a day last October.

Iran's oil export pre-sanctions was about 2.5 million barrels per day (mb/a), but the figure currently stands at around 1.1 mb/d.

Iran has the world's fourth largest proven oil reserves and the second biggest gas deposits. Both are seen as long under-tapped and ripe for exploration.

But exports have halved since the U.S. and EU sanctions were imposed on Iran's energy industry in 2012 as punishment for the country's disputed nuclear program.

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Sara Rajabova is AzerNews’ staff journalist, follow her on Twitter: @SaraRajabova

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