Iran is hampering the balance of the oil market. It raised OPEC production to 25 million barrels per day

OPEC’s oil production rose in March, according to a Reuters investigation, as an increase in supplies from Iran was offset by cuts from other members under a deal with allies, and represents an obstacle to efforts to limit supplies if Tehran’s increase continues.

The investigation concluded that the Organization of the Petroleum Exporting Countries (OPEC), which has 13 members, pumped 25.07 million barrels per day in March, up 180,000 barrels per day from February. Production has increased monthly since June 2020, with the exception of February.

It comes at a time when the United States has agreed to extend Iraq’s exemption from sanctions against Iran for its energy imports, for a period of 4 months, an official told AFP on Wednesday. Iraqi.

The exemption is the first to be granted under the Biden administration and for the longest period allowed by law, and it comes days before a “strategic dialogue” between the two countries.

Although Iraq is an oil country, it is highly dependent on Iran for energy, as it imports a third of its gas and electricity consumption needs, due to its dilapidated infrastructure that makes it makes it unable to achieve self-sufficiency to meet needs. of its 40 million inhabitants.

The longest

The former US administration led by Donald Trump withdrew from the nuclear deal with Iran and reimposed sanctions in late 2018, preventing many countries and international companies from dealing with the government or Iranian companies out of fear to be affected by the sanctions.

But the US administration continued to grant waivers to Iraq until it found other suppliers, most recently in January for a period of 3 months.

Under the new exemption granted by the Biden administration, Iraq will be able to continue importing electricity and gas from its eastern neighbor for four months, that is, from early April to early August, as the Iraqi official explained to France Press, asking that his name will not be published.

He pointed out that this exemption is the longest duration among the previous exemptions and that it is the maximum allowed by US law.