Iran Says Oil Exports Steady As Production Slightly Increased

Iran says its oil production in June increased by 31,000 barrels a day, rejecting reports that Russia has taken market share, shipping more oil to China.

The government’s office news website IRNA said Tuesday that the latest OPEC monthly report shows that Iran produced 2,574,000 barrels per day in June, slightly higher than in May.

Kpler, a market intelligence firm reported in June that Iran’s oil shipments had halved in May due to Russian competition after many countries boycotted imports from Moscow after the invasion of Ukraine. Other reports said that more than 30 million barrels of Iranian oil remained unsold in Asia.

IRNA highlighting the small increase in production has rejected these reports saying that despite US sanctions on Iran’s oil exports sales continue.

However, the impact of Iran’s illicit oil exports is not felt in Tehran’s financial markets where the currency, rial is close to its all-time lows and the government this week failed to pay monthly cash handouts to fixed-income Iranians.

Amid its economic crisis the hardliner government of President Ebrahim Raisi tries to present the overall situation in a positive light as it refuses to make a deal with the United States over limiting its nuclear program in return for the lifting of sanctions.

OPEC overall increased oil production by 234,000 barrels per day in June.