Iran's Oil Minister: oil exports won't change much despite sanctions

Russia slams US decision to withdraw from Iran deal

Saudi Arabia, the world's biggest oil exporter and de facto leader of the Organization of the Petroleum Exporting Countries, told OPEC it cut output in April to its lowest level since the supply deal began in January 2017.

Global benchmark Brent LCOc1 gained $1.11 to settle at $78.23 a barrel.

In other news, the U.S. Energy Information Administration reported that U.S. crude inventories fell by 2.2 million barrels in the week-ending May 4 to 433.76 million barrels. The Brent variety declined by 0.22% to 77.30 Dollars per barrel.

The main goal of the supply deal was to reduce excess oil stocks to the five-year average.

The return of the sanctions could initially reduce by 500,000 bpd Iran's current crude oil production of 3.8 million bpd, Goldman Sachs said in a note today, as carried by Reuters. That's up 27 percent since mid-2016 and means US output is creeping ever closer to that of top producer Russian Federation, which pumps around 11 million bpd.

USA drillers added 10 oil rigs in the week to May 11, bringing the total to 844, the highest level since March 2015, energy services firm Baker Hughes said on Friday.

"There is a good chance the current OPEC deal will end by end-2018, if not before", said Ed Morse, head of commodities research at Citigroup Inc.in NY. Nonetheless, speculators wasted no time in positioning themselves ahead of the future shortage.


But that's exactly what Iran Oil Minister Bijan Namdar Zanganeh said on state television Thursday.

Trump is being dishonest about oil prices; wants higher crude prices.

U.S. sanctions on Iran will include a six-month deadline for buyers to wind up operations in Iran, meaning any loss of supply will not immediately affect the market.

"President Trump has already stepped up pressure on OPEC to end supply cuts due to higher U.S. gasoline prices looming", Citi analysts said. According to the analysts, the investors are increasingly looking at Kuwait and Iraq as producers with the greatest capacity to raise their production in response to a possible contraction in Iranian exports.

It's likely to be then leaders such as Saudi Arabia and Russian Federation will consider whether or not fill in the gap for Iran.

We may see some weakness at the start of the week due to the jump in the rig count. Speculative buyers are likely to step in on any move into a value zone or support area.

Related News:

  • Mother of 10 kids says they weren't abused

    Mother of 10 kids says they weren't abused

    Officers found the youngster a short time later "asleep under a bush in a yard of a nearby residence", according to Hurlbut. The police Family Violence Unit, Child Welfare Services and the District Attorney's Office then launched an investigation.
    Did Caitlyn Jenner Snub Kourtney And Khloe Kardashian On Mother's Day?

    Did Caitlyn Jenner Snub Kourtney And Khloe Kardashian On Mother's Day?

    She's since deleted the post, but the omission of new mom Khloe and mother of three Kourtney was really telling. But that doesn't mean all the mommas in her life are worthy of her praise.
    Catalan parliament to vote for new president on Monday

    Catalan parliament to vote for new president on Monday

    Torra tried - and failed - to be appointed on Saturday at an initial parliamentary vote that required an absolute majority. Unionist leader Ines Arrimadas of the anti-independence Ciudadanos party called Mr Torra a mere "puppet for Puigdemont".
  • Vegas Grounds the Jets

    Vegas Grounds the Jets

    Connor took advantage, squeezing a shot between Fleury and the post from the bottom of the left circle 7:17 into the third. The Knights would kill the penalty but not without a few Jets chances, which was enough to balance the ice once again.
    Salma Hayek 'Stunned' over the Amount of Females Harvey Weinstein Supposedly Attacked

    Salma Hayek 'Stunned' over the Amount of Females Harvey Weinstein Supposedly Attacked

    Hayek isn't the only one calling for men to take a pay cut. "You have to take that feeling and get inspired by it". Weinstein at the time issued a lengthy statement of denial.
    Retail inflation increases to 4.58% in April

    Retail inflation increases to 4.58% in April

    WPI inflation was at 2.47% in the previous month and 3.85% during the corresponding month of the previous year. However, potato showed the highest rise in price, at 67.94% in April 2018 as compared to April past year .
  • "This Is America" Debuts at Number On on Billboard Hot 100

    He also stars as Lando Calrissian in the upcoming " Star Wars " film, " Solo: A Star Wars Story". On the download side of things, " This Is America " wrapped up the week with 78,000 in sales.
    Railway Minister Piyush Goyal to be Finance Minister till Arun Jaitley recovers

    Railway Minister Piyush Goyal to be Finance Minister till Arun Jaitley recovers

    Irani has been replaced by her deputy Rajyavardhan Singh Rathore, who will hold independent charge of the I&B ministry. Earlier she was shunted out of the HRD ministry to a relatively less high-profile Union Textiles Ministry.
    Nirav Modi, bank's ex-chief among 22 named in CBI charge sheet

    Nirav Modi, bank's ex-chief among 22 named in CBI charge sheet

    The CBI has also booked former IDBI CMD Kishor Kharat, at present MD and CEO of Indian Bank, in the loan fraud case. We had questioned some PNB Officials some days back over PNB fraud , SWIFT Issue.
  • Nawaz rejects NSC statement, deems it 'painful and regrettable'

    Nawaz rejects NSC statement, deems it 'painful and regrettable'

    He expressed full support for Sharif and said the entire party, including party president Shehbaz Sharif, stands with him. After Prime minister's address, opposition walked out from the session as a protest.
    'Exhausted' Simpson savours first win in five years

    'Exhausted' Simpson savours first win in five years

    After finishing equal 11th at the Players Championship on Sunday, Tiger Woods declared himself ready to win another title. Not when his method of putting was banned, not when he was one of the worst on tour on the greens.
    WHO urges global ban on trans fats

    WHO urges global ban on trans fats

    Trans fat, AKA "partially hydrogenated oil", was once seen as something of a savior in food, especially in the US. Canada will ban them as of September 2018 and many other countries are taking steps to eliminate the substance.


Most liked

WHO Reports 19 Dead, 39 Infected in Congo Ebola Outbreak
The measures include providing vaccinations to prevent the disease and administering supplies to support infected individuals. The virus is transmitted to people from wild animals and spreads in the human population through human-to-human transmission.

Google launches Google One: Upgrades storage, adds new features
Clarification: The new Google One subscription will house the files used by several Google services, not the services themselves. Not only that, the company is also offering deals on hotel bookings and more benefits will be added over the time.

Calls for Global Positioning System to get mental health days to cope with stress
Westwood Behavioral Health Center is a private, not for profit agency and is also a contract agency of the Tri-County ADAMHS Board.

Rauner unveils plan on gun control and partial death penalty re-instatement
Sue Scherer of Decatur said she had to review the details of the governor's action before taking a position. If they do not act, the whole package will expire without becoming law.

Seattle tax showdown with Amazon coming to a head
About $2 million would fund rental subsidies for people making between 0 to 30 percent of the area median income. MyNorthwest reached out to surrounding counties to gauge their interest and perspectives on a head tax.

The Science Behind Hawaii's Surprising 2018 Volcanic Eruption
If either highway is hit by lava, mass evacuations would be triggered , said Hawaii National Guard spokesman Jeff Hickman. More than 12 lava fissures have been recorded in the Leilani Estates subdivision of Puna, Hawaii, as of May 9.

PSG turn to uncompromising Tuchel to boost European chances
It was still good enough to keep Les Parisiens dominant domestically, but they needed new ideas in the Champions League . The talk for Neymar leaving PSG has never ended since the day he joined the Ligue 1 giants.

DeAngelo is done: Chesapeake's DeAngelo Hall announces retirement after 14 National Football League seasons
Hall has 43 career interceptions (23 with the Redskins ) and once picked off four passes in a 2010 game against the Chicago Bears. In an interview Monday at the Ryan Kerrigan Leukemia Golf Classic, Hall reflected on his 14-year career, as well as what's next.

Ohtani dazzles Twins, Angels rally late for 2-1 win
The Angels got one back in the bottom of the third when Cozart scored on a chopper to third by Justin Upton to make it 3-1. As Morrison said, though, only half of Ohtani's value comes on the mound, where he has a 3.58 ERA in six starts.

Gary Rowett says Derby lacked composure in play-off defeat to Fulham
Gary Rowett accepts his side found it hard to contain Fulham in the second leg. 'I can't fault the effort or character but we didn't show enough quality.

Pompeo: My Conversations With Kim Jong Un Were 'Good,' 'Warm,' 'Substantive'
Such a move might force the U.S. to halt the meeting, a presidential spokesperson said on Thursday. By doing so, they said, Washington is "prepared to work with Pyongyang to achieve prosperity".

Warriors overcome Harden's Rockets in game one
Houston used a 9-3 spurt, where James Harden scored five, to cut the lead to 103-96 with less than five minutes to go. The Rockets acquired Chris Paul to take pressure off Harden . "We need to do a better job of staying up mentally".

Asiana plane crashes while taxiing
While taxiing on the runway, the plane collided with a Turkish Airlines A321 narrow body jet that was parked nearby. Asiana's plane also was damaged on the right winglet, the tip of the wing, according to the company.

President Trump aiming to lower prescription drug prices
Currently, any medications a manufacturer includes in the federal Medicaid drug rebate program are automatically on the formulary. Most of Trump's proposals in Friday speech focused on the middlemen who negotiate drug costs on behalf of insurance companies.

Britain Firmly Committed to Ensuring Iran Nuclear Deal
But in an interview on ABC's "This Week" program, Bolton said: "That's not the policy of the administration". Perhaps unexpectedly, Trump's abrupt withdrawal from the Iran nuclear deal exposed America's weak hand.