TEHRAN - Iranian Oil Minister Javad Oji says the country’s oil production has increased from 2.2 million barrels per day (bpd) in 2021, when the current government took office, to 3.6 million bpd in the current year, IRIB reported.

“Every 100,000 barrels [per day] of increase in oil production generates 2.8 billion dollars of revenues annually, so the more the country's oil production and refining capacity increases, the more the country's economic power and foreign exchange resources would be,” Oji told the press.

Speaking with reporters on the sidelines of the cabinet meeting, Oji added that relying on domestic capabilities has marked tremendous changes in the oil industry, adding rising oil production success has been achieved during an era of harsh sanctions.

According to the official, the oil industry should be persistent in achieving its target of increasing oil production to 4.0 million bpd at the end of the current Iranian calendar year (late March 2025).    

Increasing oil production is a desirable solution for boosting government revenues and preventing budget deficit, the Minister of Petroleum said, adding Iran sits atop more than 153 billion barrels of liquid hydrocarbon reserves, so the more the oil production and refining capacity be increased, the more the country's economic power and foreign exchange resources will increase. 

Referring to rising road trips in summer and managing gasoline storage, he said that the Petroleum Ministry had taken successful non-price initiatives, which has led to managing gasoline consumption.

Last week, Oji said the country plans to increase its daily crude production to 4.0 million bpd by late March 2025 and the preparations for the mentioned increase are currently underway.

According to the minister, the 13th government administration started the movement to increase the country’s oil output with the aim of boosting the country’s economic growth to 8.0 percent.

Oji said that the late President Ebrahim Raisi administration increased the annual gas production by 53 million cubic meters, which marked a 5.0 percent growth, he added.

The minister emphasized that the export value of Iran's oil, gas condensates, and other petroleum and petrochemical products increased from $10.8 billion in 2018 to $36 billion in the previous Iranian calendar year (ended on March 19, 2024). In other words, the country’s oil revenue has grown 3.5 times.

Gas extraction from the South Pars gas field, which is shared with Qatar, has increased as well, he said, adding that Iran’s extraction is 75 to 100 million cubic meters higher.

According to him, Iran’s annual petrochemical production has now reached 100 million metric tons following a 10-percent growth.

Earlier this month, Oji said that Iran is currently exporting crude oil to 17 countries, including some in Europe.

Iran will not face any problem in exporting oil no matter who comes to power in the U.S., Oji stressed.

EF/MA