Iran Unable to Sell Oil, Builds New Storage Facilities

By Admin
Iran announces plans to build new oil storage facilities in order to store more of the fuel it isn't selling due to Western sanctions over its dis...


Iran announces plans to build new oil storage facilities in order to store more of the fuel it isn't selling due to Western sanctions over its disputed nuclear program.

"By the middle of the next (Persian calendar) year (beginning March 20, 2013), nearly 8.1 million barrels will be added to the crude oil storage capacity of Iran," Press TV reported the managing director of the Iranian Offshore Oil Company (IOOC), Mahmoud Zirakchian-Zadeh, as saying.

As a nation with the world's third largest proven oil reserves, the sanctions have definitely made an impact on the country's economy, where crude oil exports account for 80 percent of its foreign revenue.

As a result, Iran's national airline has nearly doubled prices on plane tickets for many foreign destinations due to higher fuel prices and the diminishing value of the rial against other currencies.


Sanctions on Iran Dramaticall Cut Oil Exports

Iran to Focus on Oil Products, Not Crude

Read More in Energy Digital's November Issue

Iran's oil exports plunged to 1 million barrels a day in July from 1.74 million barrels in the previous month, according to the International Energy Agency.

Some of Iran's fleet of oil tankers have been used to store crude in early 2012, but the number of ships anchored off its main export terminal in the Gulf has fallen sharply in recent months. The amount of crude held in floating storage nearly halved to 13 million barrels at the end of October from as high as 25-30 million in April, according to IEA estimates.

Iran continues to deny charges that its uranium enrichment program is geared towards developing nuclear weapons, but rather towards generating electricity and producing radioisotopes to treat cancer patients.






Featured Articles

Honeywell debunks hydrogen energy and its global challenges

Maya Gomez, Director of Green H2 CCM at Honeywell, uncovers the different types of hydrogen and the challenges of applying them for more sustainable energy

ABB Motion & WindESCo partner to strengthen wind energy

ABB Motion invests in WindESCo to sustain wind turbine performance, in a renewable energy drive that will help ABB in its net zero ambitions

Shell Energy UK and Germany acquired by Octopus Energy

Octopus delivers industry leading service whilst investing in clean energy systems — we will deliver this to the new customers too, says CEO Greg Jackson

Sustainability LIVE links to energy and electrification


Green energy: A hot topic at Sustainability LIVE 2023


Sustainability LIVE London sells out on 2023 conference