TEHRAN - Russian Energy Minister Alexander Novak Said the impact which the U.S. sanctions on Iranian oil industry will have on the global markets is still unclear, IRNA reported

“The situation could change in a month,” Novak said without further explaining.

The official noted that the OPEC+ members still do not have a clear idea about the impact of the U.S. tightening Iran sanctions on the oil markets.

“Every day, new tariffs are set and the trade war is expanding in new directions….these factors affect global oil demand projections,” he said.

Novak further noted that the situation in Iran, Venezuela and Libya is not entirely clear. Despite the imposition of sanctions, we do not know, at the moment, what impact this measure will have on cooperation between the OPEC+ nations.

A panel of OPEC and non-OPEC partners is meeting in Jeddah, Saudi Arabia, this weekend, to discuss the state of the oil market and OPEC and non-OPEC will also gather in Vienna on June 25 and 26 for a final decision on the production cuts deal.

Asked about the meeting in Jeddah this weekend, Novak said on Wednesday that the OPEC+ alliance feels that it’s still too early to assess how the end of the U.S. waivers for Iranian buyers will impact the oil market as of this month. 

There are too many uncertainties in the market and it’s too early to talk about possible recommendations to the full OPEC+ meeting at end-June. The Jeddah meeting will assess the current market situation and estimates for future demand and supply, and exchange views, Novak said.

EF/MA