According to Ali Kardor, head of the National Iranian Oil Company (NIOC), the country's leadership does not intend to reduce the oil production despite the threat of new US sanctions.
Iranian authorities decided to keep oil production, the official said. Iran is going to use all the production facilities available in the country. The Islamic Republic said it is unlikely to have problems selling oil to foreign partners.
In May, US President Donald Trump announced his withdrawal from the nuclear agreement with Iran. The White House focused on the restoration of all sanctions against Iran and all countries doing business with the Islamic Republic.
Currently, Tehran is banned from all operations with the US dollar, as well as the acquisition of the US and European aircraft. The ban also covers the trade in cars, gold, metals, and any operations in the Iranian national currency and investments in the national debt of Iran.
In November of this year, the United States intends to expand sanctions. As a result, the ban will be applied to oil and gas industry transactions as well as oil imports. The Iran nuclear deal participants, including Russia, China, France, Germany and the United Kingdom, do not approve the US withdrawal. The European Union took the blocking measures, thanks to which European companies can ignore restrictions from the United States.
As far as the market was expecting a shortage of Iranian oil, global oil prices soared to four-year highs. On Monday, October 1, the Brent price rose above $83 a barrel for the first time since November 2014.
