2016.09.1610:31:00UTC+00Iran Nearing Pre-Sanctions Crude Oil Export Levels

Reuters quoting source familiar with Iran’s tanker loading schedule said that Iran’s August crude oil exports spiked 15 percent from July to more than 2 million barrels per day (bpd) in August. OPEC's third-biggest producer is nearing its pre-sanctions crude oil export levels. August crude exports, excluding condensate, roughly doubled from a year ago to 2.11 million bpd, the source said, based on data compiled from tanker loading schedules.

Iran has been battling to regain market share after sanctions against the country were lifted in January. The strong demand for Iran’s crude in Asia and Europe has enabled it to raise its oil output to just over 3.8 million bpd as of this month, still shy of the 4 million bpd level Tehran says is a precondition for discussing output limits with Saudi Arabia and Russia.

Members of the Organization of the Petroleum Exporting Countries (OPEC) and Russia are expected to meet during the International Energy Forum in Algeria over Sept. 26-28 to discuss a possible output freeze to stabilize oil prices that are still down around 60 percent since mid-2014.

Expectations are few that any supply deal can be reached at the September meeting. Iran is expected to continue to raise production. Oil prices fell more than 1 percent on Friday as news of rising Iranian exports and returning supplies from Libya and Nigeria following interruptions fueled concerns that the global glut will persist.