Iran Production Climbing Back toward Quota Level

MEES understands that Iranian production has recently climbed back up to somewhere near the OPEC quota level of 2.255mn b/d. Exports are understood to be running at around 1.4-1.5mn b/d, which would indicate a production level of some 2.0-2.1mn b/d.

At the same time, market sources indicate that NIOC is offering term buyers discounts of some $0.30/B off Iranian Light and Iranian Heavy in order to encourage Siftings. The prevailing...