IRENEX to hold 8th round of crude oil offering today

April 8, 2019

TEHRAN- National Iranian Oil Company (NIOC) will offer one million barrels of crude oil at the base price of $63.36 at Iran Energy Exchange (IRENEX) for the eighth time today, ISNA reported.

As reported, like the previous rounds, the least amount of sales will be 35,000 barrels in this round of offering which is the first round in the new Iranian calendar year (started on March 21).

NIOC offered crude oil at IRENEX first on October 28, 2018 just few days before new U.S. sanctions on Iran’s petroleum sector took effect (November 4). In the first round, NIOC could sell some 280,000 barrels of crude oil at $74.85 per barrel. With the daily supply amount of one million barrels, the market wrapped up by selling eight 35,000-barrel cargos of oil on the day.

Since the U.S.’s withdrew from Iran’s nuclear pact in May 2018, vowing to drive Iran's oil exports down to zero, the Islamic Republic has been taking various measures to counter U.S. actions and to keep its oil exports levels as high as possible.

One of the main strategies that Iran chose to execute to help its oil exports afloat has been trying new ways to diversify the mechanism of oil sales, one of which is offering oil at the country’s stock market.

Iranian Oil Minister Bijan Namdar Zanganeh has said that NIOC will offer crude oil at IRENEX every week.

The minister said that it may take some time for selling crude oil at IRENEX to be common and regular, but the oil ministry will offer the product at this market every week.

MA/MA

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