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Iran aims to raise oil exports to 2.5m bpd once sanctions lifted

Washington's talks with Tehran for bringing Iran back to nuclear deal make progress

May 05, 2021 00:00:00

NEW YORK, May 04: Iran will be able to raise its crude exports to 2.5 million barrels per day (bpd) after the US sanctions on its oil industry are lifted, a top Iranian official said, report agencies.

"Oil sales have dropped a lot, but now the situation is better, and we are in control. We will be able to increase oil exports to 2.5 million barrel per day after removal of the sanctions," reporters quoted Iran's vice-president Eshaq Jahangiri as saying.

Brent crude rose 80 cents, or 1.2 per cent, to settle at $67.56 per barrel while US West Texas Intermediate (WTI) rose 91 cents, or 1.4 per cent, to settle at $64.49 a barrel.

Reports emerged that the talks in Vienna for bringing Iran and the US back to the nuclear deal had made progress. The United States is currently in indirect talks about the Iran nuclear deal with diplomats from Europe, Russia, and China in Vienna.

Currently, Washington's sanctions imposed by former president Donald Trump's administration are preventing Iran from exporting all of its oil, as many buyers around the world don't want to risk their US assets by doing business with Tehran.

Despite the sanctions, Iran has been exporting part of its crude oil, and exports have been estimated at around 0.5 million or 500,000 bpd recently.

US President Joe Biden has signaled a willingness to return to the nuclear deal, but only if Iran returns to full compliance in its nuclear activities.

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