Category Archives: News

China pushes Asia’s Iranian oil imports above U.S. ceiling

TOKYO (Reuters) – China’s Iranian crude imports rose by more than a third in May to the second highest on record, helping keep overall Asian buying above the level allowed under a deal that eases some Western sanctions, government and tanker-tracking data showed.

China, Tehran’s largest oil client, has since late 2013 been stepping up purchases after a landmark November nuclear deal eased some sanctions on Iran and has been making up the main portion of stronger Asian imports since then.
Iran’s biggest buyers – China, India, Japan and South Korea – together took in 1.26 million barrels per day of the Islamic republic’s crude last month, up 8 percent from the same period a year ago, government and tanker-tracking data showed.
For the first five months of 2014, their imports averaged 1.25 million bpd, up 25.3 percent from a year ago, keeping Tehran’s exports above the 1 million bpd cap that it agreed under a deal with the West for six months to July 20.
There are no indications that Washington will loosen up on the cap until a full nuclear deal with Tehran is reached, but there have been some signs of improving ties, including on how to respond to an Islamist militant insurgency in northern Iraq.
An oil industry expert in Asia, who declined to be identified, said concerns about unrest in Iraq disrupting oil supplies meant that some importers were also viewing Iranian supplies as more stable than Iraqi crude.
Tough western sanctions since 2012 have slashed Iran’s oil exports and crippled its economy by choking the flow of foreign exchange, but some of those measures were relaxed in November’s diplomatic deal in return for Tehran curbing its nuclear activities and shipments have been up from last year.
With less than four weeks left until a late-July deadline to strike an accord, Western officials have said Iran and six world powers have made very little progress towards striking a deal that could end years of hostility.
Asian buying volumes have held consistently above 1.1 million bpd since January – excluding oil going to other destinations such as Turkey and Syria – indicating the six-month export target will be missed.
Iran’s total crude loading also seem to have rebounded in May back up to about 1.38 million bpd, for arrival to destinations mostly in June, according to sources who track tanker loadings.
Iranian crude imports by China expanded 36 percent in May from a year ago to the second highest on record of 757,900 bpd, pushing up its average imports for January-May higher to nearly 50 percent on a year earlier.
India’s imports fell 0.6 percent to 255,200 bpd in May from a year ago, but its intake in the first-five months of the year still was up 37.7 percent at 310,500 bpd.
South Korea’s imports fell 43.3 percent from a year ago to 66,500 bpd of Iranian crude for the month. Shipments to Japan – the last of the four to report its oil intake – fell by 23.7 percent to 181,892 bpd last month, trade ministry data showed on Monday.

China pushes Asia’s Iranian oil imports above U.S. ceiling

TOKYO (Reuters) – China’s Iranian crude imports rose by more than a third in May to the second highest on record, helping keep overall Asian buying above the level allowed under a deal that eases some Western sanctions, government and tanker-tracking data showed.

China, Tehran’s largest oil client, has since late 2013 been stepping up purchases after a landmark November nuclear deal eased some sanctions on Iran and has been making up the main portion of stronger Asian imports since then.
Iran’s biggest buyers – China, India, Japan and South Korea – together took in 1.26 million barrels per day of the Islamic republic’s crude last month, up 8 percent from the same period a year ago, government and tanker-tracking data showed.
For the first five months of 2014, their imports averaged 1.25 million bpd, up 25.3 percent from a year ago, keeping Tehran’s exports above the 1 million bpd cap that it agreed under a deal with the West for six months to July 20.
There are no indications that Washington will loosen up on the cap until a full nuclear deal with Tehran is reached, but there have been some signs of improving ties, including on how to respond to an Islamist militant insurgency in northern Iraq.
An oil industry expert in Asia, who declined to be identified, said concerns about unrest in Iraq disrupting oil supplies meant that some importers were also viewing Iranian supplies as more stable than Iraqi crude.
Tough western sanctions since 2012 have slashed Iran’s oil exports and crippled its economy by choking the flow of foreign exchange, but some of those measures were relaxed in November’s diplomatic deal in return for Tehran curbing its nuclear activities and shipments have been up from last year.
With less than four weeks left until a late-July deadline to strike an accord, Western officials have said Iran and six world powers have made very little progress towards striking a deal that could end years of hostility.
Asian buying volumes have held consistently above 1.1 million bpd since January – excluding oil going to other destinations such as Turkey and Syria – indicating the six-month export target will be missed.
Iran’s total crude loading also seem to have rebounded in May back up to about 1.38 million bpd, for arrival to destinations mostly in June, according to sources who track tanker loadings.
Iranian crude imports by China expanded 36 percent in May from a year ago to the second highest on record of 757,900 bpd, pushing up its average imports for January-May higher to nearly 50 percent on a year earlier.
India’s imports fell 0.6 percent to 255,200 bpd in May from a year ago, but its intake in the first-five months of the year still was up 37.7 percent at 310,500 bpd.
South Korea’s imports fell 43.3 percent from a year ago to 66,500 bpd of Iranian crude for the month. Shipments to Japan – the last of the four to report its oil intake – fell by 23.7 percent to 181,892 bpd last month, trade ministry data showed on Monday.

Iranian carmaker resumes exports to Russia after 5-year hiatus

TEHRAN – The Iranian carmaker Iran Khodro has resumed automobiles exports to Russia, which it halted in 2009 when Russia adopted stricter Euro-4 emission standards.

The company plans to export 10,000 cars to Russia by 2015, according to the Tasnim News Agency.
Iran Khodro exported more than 12,000 cars to Russia from 2007 to 2009.
The resumption of car exports to Russia comes at a time of greater openness to trade with Iran in the wake of an interim nuclear deal reached in November that saw some international sanctions eased in return for Tehran limiting its nuclear program. Iran hopes to reach a final nuclear deal with Russia and the five other members of the 5+1 group by the end of next month.
According to officials, Iran’s car output is projected to hit 1.3 million in the current Iranian calendar year, which began on March 21, 2014.
However, about $2 billion is needed for Iranian car manufacturers to meet the target.
Iran produced 626,110 cars in 2013, which made the country the 20th largest car manufacturer in the world, according to the International Organization of Motor Vehicle Manufacturers.
MG/HG

Iranian carmaker resumes exports to Russia after 5-year hiatus

TEHRAN – The Iranian carmaker Iran Khodro has resumed automobiles exports to Russia, which it halted in 2009 when Russia adopted stricter Euro-4 emission standards.

The company plans to export 10,000 cars to Russia by 2015, according to the Tasnim News Agency.
Iran Khodro exported more than 12,000 cars to Russia from 2007 to 2009.
The resumption of car exports to Russia comes at a time of greater openness to trade with Iran in the wake of an interim nuclear deal reached in November that saw some international sanctions eased in return for Tehran limiting its nuclear program. Iran hopes to reach a final nuclear deal with Russia and the five other members of the 5+1 group by the end of next month.
According to officials, Iran’s car output is projected to hit 1.3 million in the current Iranian calendar year, which began on March 21, 2014.
However, about $2 billion is needed for Iranian car manufacturers to meet the target.
Iran produced 626,110 cars in 2013, which made the country the 20th largest car manufacturer in the world, according to the International Organization of Motor Vehicle Manufacturers.
MG/HG

Iran divests state shares worth over $776m in 3 months

TEHRAN – Iran has transferred over 24.8 trillion rials (about $776.3 million) worth of shares of state-run companies to the private sector in spring 2014, the Tasnim News Agency reported on Sunday.

Spring 2014 corresponds to the first quarter of the current Iranian calendar year (March 21-June 21).
On May 11, Iran Privatization Organization Director Abdollah Pouri Hosseini said Iran would privatize 186 state-run companies in Iranian calendar year 1393 (March 2014-March 2015).
He said that the companies consist of 27 huge companies, 76 large companies, 31 medium companies, and 31 companies of other sizes.
The government has envisioned a large privatization program in the Fifth Five-Year Development Plan (2010-2015), aiming to privatize about 20 percent of state-owned firms each year.
Under the present interpretation of the Article 44 of Iran’s Constitution, hundreds of state-owned companies have been privatized.

Russian company negotiating to establish power plants in Iran

TEHRAN – The Russian company, Technopromexport, is negotiating with the Iranian Energy Ministry to establish five power plants in Iran’s northwestern province of East Azarbaijan.

Preliminary studies for the construction of two 450-megawatt (MW) power plants, two 350MW power plants, and one 125MW power plant will be carried out in the near future, according to the Mehr News Agency.
Tehran and Moscow are in talks to sign a deal worth $10 billion in the power sector.
On May 24, Russian Energy Minister Alexander Novak said, “We recently discussed a whole package of projects, worth nearly $10 billion, which could be carried out in electricity. These are for the construction of thermal power plants, the involvement of Russian companies in equipment supplies, and the renovation of supply networks.”
On May 13, Iranian Ambassador to Russia Mehdi Sanaei expressed Tehran’s willingness to purchase electricity from Russia and use Russian expertise in the construction of thermal power plants and renovation of two power stations in central and southwestern Iran.
Iran-Russia trade currently totals $5 billion a year, but economists say the two countries can at least quadruple the volume of their trade exchanges.

Iran divests state shares worth over $776m in 3 months

TEHRAN – Iran has transferred over 24.8 trillion rials (about $776.3 million) worth of shares of state-run companies to the private sector in spring 2014, the Tasnim News Agency reported on Sunday.

Spring 2014 corresponds to the first quarter of the current Iranian calendar year (March 21-June 21).
On May 11, Iran Privatization Organization Director Abdollah Pouri Hosseini said Iran would privatize 186 state-run companies in Iranian calendar year 1393 (March 2014-March 2015).
He said that the companies consist of 27 huge companies, 76 large companies, 31 medium companies, and 31 companies of other sizes.
The government has envisioned a large privatization program in the Fifth Five-Year Development Plan (2010-2015), aiming to privatize about 20 percent of state-owned firms each year.
Under the present interpretation of the Article 44 of Iran’s Constitution, hundreds of state-owned companies have been privatized.

Russian company negotiating to establish power plants in Iran

TEHRAN – The Russian company, Technopromexport, is negotiating with the Iranian Energy Ministry to establish five power plants in Iran’s northwestern province of East Azarbaijan.

Preliminary studies for the construction of two 450-megawatt (MW) power plants, two 350MW power plants, and one 125MW power plant will be carried out in the near future, according to the Mehr News Agency.
Tehran and Moscow are in talks to sign a deal worth $10 billion in the power sector.
On May 24, Russian Energy Minister Alexander Novak said, “We recently discussed a whole package of projects, worth nearly $10 billion, which could be carried out in electricity. These are for the construction of thermal power plants, the involvement of Russian companies in equipment supplies, and the renovation of supply networks.”
On May 13, Iranian Ambassador to Russia Mehdi Sanaei expressed Tehran’s willingness to purchase electricity from Russia and use Russian expertise in the construction of thermal power plants and renovation of two power stations in central and southwestern Iran.
Iran-Russia trade currently totals $5 billion a year, but economists say the two countries can at least quadruple the volume of their trade exchanges.