DUBAI: Iran is exporting 1.3 million barrels a day (bpd) of crude oil, and will be pumping 1.5m barrels a day by the start of the next Iranian year on March 20, a vice-president was quoted as saying on Saturday.

Oil traders are closely watching the pace of Iran’s return to the market after a nuclear deal with world powers relieved Iran of sanctions that had cut its oil exports by more than half from their pre-sanctions 2011 peak of around 3m bpd.

“Today our oil exports have reached 1.3m barrels a day, and by the end of the (Iranian) year will reach 1.5m barrels a day,” Vice-President Eshaq Jahangiri was quoted as saying by the Shana news agency.

Some in the market fear that a ramp-up of Iranian exports could worsen a global oil glut that drove crude prices down to 12-year lows this week.

Iran is also trying to increase production of gas and refined products, particularly petrochemicals. Shana reported on Saturday that Iran had produced 35m tonnes of petrochemical products in the nine months to December, of which 14.3m tonnes were exported.

Published in Dawn, February 14th, 2016