Iran to boost diesel exports to Iraq
Tehran, May 18, 2013
Iran will more than double its diesel exports to Iraq thanks to higher capacity at its refineries, a leading oil official said.
Trade relations between the two former enemies have improved markedly over the last few years, with bilateral trade amounting to around $12 billion and Iranian officials hoping to double commerce within two years.
Tehran will supply up to 5 million litres a day of diesel, increasing the volume of an earlier agreement between the Opec member neighbours, the director of the National Iranian Oil Refining and Distribution Company (NIORDC) said.
Iranian Oil Minister Rostam Qasemi signed a deal in March to supply 2 million litres a day of diesel to Iraq.
"Under the agreement, Iran will export 3-5 million liters of quality diesel to this neighboring country each day," Alireza Zeighami told Mehr news agency on Wednesday.
Iran has exported small quantities of diesel before but has been a net importer over the past few years because its own demand has exceeded its production capacity.
"It is forecast that production of Iranian diesel will reach 100 million litres per day this (Iranian) year," he said, adding that after meeting domestic demand there should be at least 3 million left over for export to Iraq.
In November, Qasemi announced plans to ration diesel sales at Iranian pump stations to prevent smuggling of cheap subsidised fuel to Pakistan, Iraq, Afghanistan and Turkemenistan.-Reuters
More Energy, Oil & Gas Stories
- Libyan rebels start oil exports, bypassing govt
- Dubai drilling company set for London IPO
- Opec output soars on higher Iraq exports
- S Korea to pay Iran $550m under nuke deal
- Qatar LPG exports will stay unchanged till 2018
- $14bn Bahrain energy sector focus for summit
- Iraq now world's fastest-growing oil exporter
- Old IT systems pose risk to oil firms
- Thomson Reuters adds commodity monitoring tool
- Oil below $90 to hit GCC economies
- GlassPoint appoints new Oman director
- Sheffield company opens Dubai hub
- Oman targets big rise in gas output
- Intertek buys UAE firm for $66m
- Qaiwan to tender Baizan refinery EPC contract
- Al Maha wins Oman Air fuel supply deal
- Iran to become top gas importer by 2025
- UAE hydrocarbon projects seen hitting $11bn
- Summit focus on occupational safety
- Aramco names new senior VP
- Siemens gets $253m Qatar power contract
- Taqa-led group's India deal worth $1.6bn
- Taqa-led group to buy India power plants
- Iraq oil exports hit record 2.8m bpd
- Korean refiners eye more Iraq crude
- Dana starts Egypt gas plant upgrade
- Opec oil production hits new high in Feb
- Taqa-led group to buy Indian hydropower plants
- Schneider gets energy management certification
- Morocco moves ahead with $1.7bn wind farms