Iran can be world energy hub: Energy expert

EghtesadOnline: Iran can become world energy hub, due to its unrivaled energy reservoirs and geographical position.

News ID: ۷۷۹۳۵۳

20 September 2017

Energy expert Kasra Nouri wrote in the latest edition of Iran Petroleum, 'Despite political pressure exerted by certain governments, Iran has over the past four years managed to make a strong return to oil and gas market.'

The full text of the article is as follows:

Like every other economic market, international oil and gas market is affected by political actors; however, what finally forms the capital flow, and traces the path for the economy is exclusively economic indicators.

The most significant economic indicators in international oil and gas market are the volume of hydrocarbon reserves, production capacity of producing countries and the level of demand by consuming countries.

A review of energy crises triggered mainly by political events shows that in the long-run, policymakers' views will be way off the mark and the economy will go down its own reasonable way.

Over recent decades, Petroleum Ministry of Islamic Republic of Iran Bijan Zangeneh has proved that it is well familiar with the mechanisms of market. To that effect, it has designed its behaviors based on long-term economic necessities, and focuses on realistic diplomacy.

Zangeneh, one of the most experienced oil ministers in the world, has just taken over as Iran's Minister of Petroleum for another four-year term. Such appointment implies the persistence of diplomacy based on the expansion of regional and international interactions, continual enjoyment of capital and technology and refraining from hasty and passive policies.

Based on such policies, despite political pressure exerted by certain governments, Iran has over the past four years managed to make a strong return to oil and gas market and regain its status as a leading producer and exporter.

Providing proper grounds for the signature of numerous international oil, gas and petrochemical agreements, development of a new model of oil contracts to be mutually profitable, opening doors to negotiations as well as the significant role played by Minister Zangeneh in OPEC ministerial meetings for the black gold to reach stable price have turned Iran into a point d'appui for the energy market.

In the tense Middle East region, which is the largest energy center in the world, Iran has the potential to become the hub of energy transactions thanks to its geographical position, potentialities in oil, gas and petrochemical industries, as well as Zangeneh's diplomacy.

Expansion of cooperation and relations based on mutual respect, preparing the ground for joint investment to develop oil, gas, petrochemical and refining industries, refraining from hasty behaviors in oil policymaking and finally sketching out a perspective for public welfare and calm under the aegis of secure energy supply and demand are the objectives pursued by Iran's Petroleum Ministry under the management of Zangeneh; this is what both producers and consumers in international energy market need and which they can achieve only through cooperation.