Iran Warns Oil Consumers of Tough Days
TEHRAN – Oil Minister Bijan Zangeneh said the coming months would be “pretty hurtful” for oil consumers.
“Unfortunately, the coming months are expected to be pretty hurtful for consumers,” said the official in an interview with Shana, adding that the sanctions waivers US government would grant oil consumers were not in proportion to the market demand.
He stated: “Despite the initial battle cries of Mr. Trump and a number of regional oil producers, the US government eventually acknowledged a severe shortage of oil on the global market and the impossibility of removing Iran from this market.”
He said that the United States would issue sanctions waivers to 8 countries to buy oil from Iran due to a serious shortage of oil and the supply-demand imbalance, and in order to reduce the pressure on large consumers.
“But, the level of the waivers would not be able to meet the demand and, therefore, I must say the future months will unfortunately be a hurtful months for oil consumers,” the official added.
Zanganeh further said that the Trump administration, on the eve of election in the U.S., had artificially reduced oil and petrol prices, but there naturally will be an upward trend in the prices in the coming months.
Meanwhile on Tuesday, Zangeneh sent a letter to OPEC Secretary General Mohammad Sanusi Barkindo complaining about JMMC performance and interpretation of its decisions by some OPEC members and called for stopping its work.
In the letter the Iranian official complained that the committee’s performance had been driven by misinterpretation of the OPEC Conference decisions, as it was frequently referred to in previous correspondences of Mr. Zangeneh with OPEC.
Mr. Zangeneh said: “Given the performance of the JMMC and JTC over recent months, we have regrettably noticed that these two committees have deviated from their initial objectives for which they were established, and some OPEC members of these two committees have clearly taken side with the US in imposing its unilateral and unlawful sanctions against Iran, and are turning these two committees into political tools in support of the US policies against Iran.”