Daily Management Review

Tehran Will Continue To Export Crude Despite US Sanctions: Iranian President


Tehran Will Continue To Export Crude Despite US Sanctions: Iranian President
In a speech broadcast live on Iranian state TV on Tuesday, Iran President Hassan Rouhani literally challenged the United States over its attempt to stop Iran from exporting oil, and said that Tehran would continue to export oil despite the pressure from Washington. The latest round of sanctions on Iranian oil is scheduled ot be imposed from May 1. 
"America's decision that Iran's oil exports must reach zero is a wrong and mistaken decision, and we won't let this decision be executed and operational" Rouhani said. "In future months, the Americans themselves will see that we will continue our oil exports," he added.
Rouhani said that Iran would find other ways to export oil, if the US manages ot prevent it from exporting oil in one way.
On Monday last week, five countries - Japan, South Korea, Turkey, China and India, were communicated by the Trump administration that it would no longer extend the waivers to them with respect to those countries importing oil from Iran. It also implied that the companies from these countries that keep buying Iranian oil would also have to face secondary US sanctions.
Last week, price of global crude reached its highest since November last year following the announcement by the United States about the non-renewal of waivers ot the major countries that purchase Iranian oil. China and India are also among the largest importers of crude in the world. The announcement by the US also essentially triggered concerns about a shortage in global supply of crude leading to price hike.
Earlier during the last round of sanctions on Iran, Iran's eight biggest customers, most of them in Asia, were allowed to continue importing crude oil from Iran in limited volumes for e period of six month. On Monday however the Trump administration made it clear that those waivers would be lifted thereby implying that companies from the countries would not be allowed to buy Iranian oil. 
Rouhani said that the US sanctions would have a direct impact on the ordinary Iranians.
In an attempt to attract new, private buyers 1 million barrels of heavy crude on the Iran Energy Exchange was offered by National Iranian Oil Co on Tuesday.
All transactions of crude oil in Iran is controlled by the government. However last year, the Iranian government began selling its crude oil to private buyers through the exchange in order to find out a way to circumvent the U.S. sanctions.
70,000 barrels were sold at $60.68 a barrel, reported Fars news agency. The identity of the private buyers purchasing Iranian oil on the exchange is not revealed by Iran because it says that those buyers could be targeted by the US through sanctions and penalties.