IEA Says Iran Oil Exports Rising But Challenges Remain

LONDON--Iran's oil exports are already rebounding after an interim deal with the West but the Islamic Republic won't flood markets even if international sanctions are lifted, the International Energy Agency said Wednesday.

The IEA, the top energy watchdog, said global oil demand will be higher than expected next year and that could push up oil prices amid persistent production disruptions.

In its closely watched monthly oil market report, the IEA said preliminary estimates indicate that receipts of Iran's crude oil and condensate exports rose by 89,000 barrels a day in November, to 850,000 barrels a day as the Chinese bought more and shipments to Taiwan resumed.

By contrast, the agency had said last month that Iran's crude exports had reached their lowest level in 21 months in October.

The Iranian oil export rebound comes as, on Nov. 24, Iran and six world powers agreed to a partial easing on international restrictions in exchange for Tehran scaling down its nuclear program.

The shipments would have been agreed before the sanctions relief agreement suggesting the situation of the country's embattled oil industry is already improving.

Write to Benoit Faucon at [e-mail]

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