Iran oil imports by Asia buyers jump 47.1%

Imports of Iranian oil by four major buyers in Asia in June jumped 47.1 per cent from a year ago to the highest level in more than four years, evidence Tehran’s aggressive moves to recoup market share, lost under international sanctions, is paying off.

Iran is regaining market share at a faster pace than analysts had projected since sanctions were lifted in January, helped by securing more tankers through a temporary shipping insurance fix.

Robust Iranian oil sales may continue as Opec producers cut prices for August crude sales to Asia, the Mediterranean and from the port of Sidi Kerir in Egypt, in a continuing effort to regain market share in these regions post-sanctions.

Tehran’s oil sales hit a 4-1/2 year high in June, nearly doubling since December as sanctions were lifted on its oil exports in January. By discounting prices for its crude against Saudi Arabia and Iraq, Iran has attracted new customers in countries such as Poland and spurred higher demand from existing buyers in Asia. The four countries, South Korea, Japan, China and India, imported 1.72 million barrels per day (bpd) in June, government and shiptracking data showed.

Japan’s trade ministry yesterday released official data showing its imports almost tripled from a year earlier to 275,000 bpd last month.

Japanese oil refiner TonenGeneral Sekiyu has bought its first oil from Iran since becoming independent from US oil major ExxonMobil Corp, three industry sources familiar with the matter said.