Oil official: Iran braced for ‘worst scenario’

A senior energy official says Iran is prepared for the “worst scenario” as oil prices continue the downward spiral amid global supply glut.

The OPEC producer plans to ramp up output and reclaim its share of the market after oil sanctions are removed against the country in the “next few days”.

Deputy Oil Minister for commerce and international affairs Hossein Zamaninia said there is “absolutely no chance” Iran would delay its plan to increase production even as prices decline.

“Our general assumption is on a market with low prices; so the price can drop as low as possible as we are prepared for the worst scenario,” the financial news and data provider Bloomberg quoted Zamaninia as saying.

Iran currently exports about 1 million barrels per day (bpd) of oil to Asian clients and Turkey under a preliminary nuclear deal. According to tanker loading schedules, Iran’s crude oil exports are set to rise to a six-month high in December.

Shipments will total 1.26 million bpd of oil this month as international buyers are raising purchases in anticipation of sanctions being lifted, the Reuters news agency reported.