Iran halts gasoil exports amid surge in demand in electricity sector
A National Iranian Oil Company (NIOC) official says gasoil exports from the country have stopped amid a surge in demand for the fuel in power plants where natural gas supplies have dwindled during the current cold season.
NIOC’s representative to the Iranian energy bourse Amir Hossein Tebyanian said on Thursday that gas oil shipments were no longer on offer for sales to foreign buyers despite growing number of bids submitted to the exchange market in recent weeks.
“Considering the domestic demand for liquid fuel needed in power plants, gasoil is currently unavailable in the (Iranian) energy exchange,” said Tebyanian.
The Oil Ministry official said that resuming gasoil exports from Iran will take months as he insisted that shipments will be on offer again once natural gas consumption in the household sector drops and power plants can burn gas to generate electricity.
The Iranian government has relied heavily on exports of gasoline and gasoil in recent years to offset American sanctions targeting its direct crude exports.
Reports have suggested that gasoil exports have generated up to $250 million in monthly revenues for the NIOC.
The growth in gasoil exports has been made possible by Iran’s extensive plans to develop its natural gas sector in recent years as the country has managed to connect many power plants to the nationwide gas pipeline network.
Those projects have led to a massive increase in natural gas production from the South Pars, the largest gas field in the world which straddles the maritime border between Iran and Qatar in the Persian Gulf.
Gas demand in the Iranian household sector rose to an all-time record of nearly 700 million cubic meters on January 23, according to statements by Oil Ministry officials.
Iran to open 6 GW of new power capacity by next summer
Iran rushing to supply more fuel to power plants amid cold spell
Iran declares holidays to curb energy demand
VIDEO | Yemen: A bone in Israeli neck
D-8’s role in Iran’s economy after Cairo summit
China slams US as ‘war-addicted’ threat to global security
China ‘firmly opposes’ US military aid to Taiwan
VIDEO | Press TV's News Headlines
President Yoon Suk Yeol to be removed from office
At least 19 Gazans killed by Israeli airstrikes since dawn: Medics
Leader: Iran neither has nor needs proxy forces
PressTV NEWSLETTER
now
This makes it easy to access the Press TV website
