Demand is rising for Iranian crude oil, with an OPEC report showing a higher output already by Iran which is closely watched by customers as the country is discussing the removal of unilateral US sanctions.
Iran’s oil production rose by 137,000 barrels per day to 2.3 million bpd in March, marking the highest crude production growth among OPEC members, the Organization of the Petroleum Exporting Countries said in a monthly report.
The higher output by Iran which is exempt from making voluntary cuts because of US sanctions came for the third consecutive month. Iran’s oil production had jumped by 62,000 and 35,000 barrels per day in January and February, respectively.
According to OPEC, Iran’s heavy crude oil price also rose from $60.66 to $64.30 per barrel in March.
China has reportedly been making record imports of crude from Iran, forcing sellers of oil from countries such as Brazil, Angola and Russia to divert shipments to India and Europe.
The rise comes in the wake of a 25-year cooperation agreement signed between Iran and China last month to strengthen longstanding economic and political alliance.