Iran tells OPEC Over-producers will face deep economic pressure if glut continues, Iran says.

10-Sep-2015 TEHRAN, Sept. 10 (UPI) -- The Organization of Petroleum Exporting Countries will have to review production levels to make room for Iran or face consequences, Iran's Oil Ministry said.

An opinion piece published by SHANA, the Oil Ministry's official news website, said crude oil markets are skewed toward the supply side by 2 million barrels. Once all sanctions pressures ease, Iran could add another 1 million barrels of oil per day to the global marketplace almost immediately, it said.

Iranian Oil Minister Bijan Zangeneh said his country could become the second-largest producer in the Organization of Petroleum Exporting Countries, after Saudi Arabia, within seven or eight months of sanctions relief. The minister said Iran will increase net oil production by more than 1.5 million bpd, bringing total production for the Islamic republic to just over 4 million bpd by the end of next year.

SHANA singled out de facto OPEC leader Saudi Arabia for disregarding a production ceiling by exporting 1.5 million bpd more than the market needs. That, it said, adds to the glut of oil that emerged from U.S. shale deposits in 2014. (by Daniel J. Graeber, UPI)


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