Iran will offer one million barrels of oil through its domestic Energy Exchange on 21 January for the third time as Tehran seeks to offset oil sanctions.
“One million barrels of light crude will be offered in 35,000 barrel consignments at a price of $52.42 per barrel on 21 January,” said Saeed Khoshroo, National Iran Oil Company (NIOC) International Affairs Director on Monday. Earlier, Iran oil authorities said previously that they will offer three million barrels of crude.
The buyers can pay the amount in both foreign exchange, such as dollar or euros, as well as national Iranian currency rial, according to the official who went on to say that payment clearance period has also risen to 3 months from the original 2 months.
During the last two previous offerings, the buyers, whose identities have not been revealed out of fear of being targeted by the sanctions, had to pay 20% in rial and the remaining 80% in foreign currencies. However, the official said later on the clients will be able to pay all the amount in rial.
All the barrels will be offered through Iran Energy Exchange (IRENEX) that was used during the two previous occasions to sell the country’s crude.
Tehran sold 280,000 barrels of crude oil out of 1 million barrels on offer through the country's domestic bourse 28 October for the price of $74.85 per barrel. The second round sold 700,000 barrels at $64.97 on November 11.
Iran decided to sell its oil via the stock market after Donald Trump took the US out of an international agreement about Iran’s nuclear programme. The other signatories -the EU, Russia and China as well as Iran-harshly criticised Washington’s move but have yet stayed in the pact. Trump’s administration later reimposed economic sanctions on Tehran on 5 November that target mainly oil and banking sectors.
Tehran says its crude is also being sought by foreign companies despite the unilateral US sanctions. “Several countries through their embassies in Iran have sought information on how to buy our crude that’s been offered on the Energy Exchange,” Iran Energy Exchange Managing Director, Seyed Ali Hosseini told the country’s official news agency IRNA on Monday.
“Several foreign companies have also held direct talks with [Iran’s Energy Exchange] and have been given transaction codes,” added the official. He did not provide further details, though.
Also earlier, Amir Hossein Zamaninia, Iran’s deputy oil minister for trade and international affairs had said the country had found what he called “potential buyers” for its crude. “Despite U.S. pressures on Iranian oil market, the number of potential buyers of Iranian oil has significantly increased due to a competitive market, greed and pursuit of more profit,” he said without giving further details.
Brian Hook, the US special representative for Iran has said Washington will grant no more waivers for Iranian oil after the reimposition of sanctions. Washington granted exemptions to eight major buyers of Iranian oil – including China, India, Japan and South Korea – after restoring energy sanctions in November.
"Iran is now increasingly feeling the economic isolation that our sanctions are imposing... We do want to deny the regime revenues,” Brian Hook told a news conference in Abu Dhabi on Saturday.
However, Tehran has been at rush to assure its main clinets keep buying the crude. Iranian Foreign Minister, Mohammad Javad Zarif, told the Indian authotities that his country "is and will remain India's relaiable oil supplier."
Zarif is now in Iraq to hold talks with the Arab countries authorities about Baghdad's purchase of Iran oil and gas. Earlier, Iran Oil Minister, Bijan Zanganeh, was in the Iraqi capital to inform authorities that Tehran is willing to continue selling oil and gas to its neighbour that is heavily needs them to produce power for its nearly 40 million inhabitants.