The Brent oil price fell to $44.53 overnight as the world expects OPEC to do nothing at its forthcoming meeting. Looking ahead, Bloomberg has a good piece on the problem for 2016, Iran:
“Immediately after lifting sanctions, it’s our right to return to the level of production we historically had,” Iran Oil Minister Bijan Namdar Zanganeh said in September, weeks before the first international oil conference held in years in Tehran.
…Zanganeh has repeatedly said Tehran would increase its production by 1 million barrels a day within weeks of the end of the sanctions, expected to be lifted sometime during the first half of 2016. The IEA estimates that within six months of sanctions ending, Tehran could bring daily production to 3.6 million barrels—or about 800,000 barrels a day above current production. That would mark Iran’s highest level of crude output since 2011.
