Iran to continue developing its oil industry despite US sanctions

Iranian oil minister Bijan Zanganeh said Iran is determined to develop its oil industry despite US sanctions.

Iran oil minister Bijan Zanganeh said Iran is determined to develop its oil industry despite US sanctions.

The minister said ahead of signing a $294-million contract between the National Iran Oil Company and Persia Oil & Gas, an Iran firm, to develop the Yaran oilfield that is shared with neighbouring Iraq's Majnoon field is being flagged off in an attempt to boost Iran's oil production, The Minister spoke in a televised speech as reported by Dawn.

The agreement is aiming to produce 39.5 million barrels of oil from the Yaran oilfield in Khuzestan province in southwestern Iran, as claimed by the Iran Oil Ministry's news agency Shana.

Iran has been hit by crippling economic sanctions since the Trump administration unilaterally pulled out of the Joint Comprehensive Plan of Action (colloquially known as the Iran nuclear deal), 2015 signed between six nations. This has prevented Iran and other countries from trading in Iran oil.

Iran is believed to have the fourth-largest oil reserves in the world. It has traditionally been one of the biggest oil exporters to India but since the US pulling out of the JCPOA, and coercing its allies to cut trade ties with Iran, Indian oil imports from the country have reduced significantly.

( With inputs from ANI )