Iran’s deputy oil minister said Monday that OPEC is unlikely to revise its current production targets at the group’s meeting next week.
In an interview with Reuters, Iranian Deputy Oil Minister Rokneddin Javadi said he doesn’t expect OPEC to cut its production despite continued price volatility and a global supply glut.
The minister, who is also managing direction at the National Iranian Oil Company, added that Iran will continue pushing for cuts and said the meeting could “reinforce cooperation between the members because OPEC is an organization that could make policies for oil price orientation.”
OPEC pumped a record breaking 30.93 million barrels per day in April, nearly one million barrels over the group’s current 30 million barrel per day production target.
Saudi Arabia, OPEC’s largest producer, has repeatedly stood by OPEC’s target despite criticism from Iran and other group members.
In March, Saudi oil minister Ali Al-Naimi said OPEC can not be solely responsible for helping oil prices to recover.
“The production of OPEC is 30 percent of the market, 70 percent from non-OPEC…everybody is supposed to participate if we want to improve prices,” Al-Naimi said.
OPEC is scheduled to meet in Vienna on June 5.
Commenting on Iran’s pending nuclear deal with western powers Javadi said the country hopes to ramp up crude exports to pre-sanction levels within three months of finalizing an agreement.
“We hope we can come back to the export levels that we had before the sanctions,” Javadi, who is also the managing director of the National Iranian Oil Company, told Reuters.
Javadi added that Iran could be exporting as many as 2.5 million barrels per day within three to six months of inking a final nuclear deal.
News of the sanction ending deal pushed oil prices down when it was announced in April over concerns that ramped up Iranian exports will flood already swollen crude stores.
Western sanctions have held Iran’s crude exports at 1 million barrels per day since 2012 from a peak of 2.5 million barrels per day.
According to OPEC, Iran currently exports about 1.5 million barrels per day of crude and produces about 3.5 million barrels of crude per day.