Page 37 - IRANRptJun19

Bijan Namdar Zangeneh refuted the speculation , calling it a "lie" and saying that there would be an explanation "later".
Under the reported plans, less-subsidised fuel would be available at IRR30,000 per litre ($0.21). That would still, however, mean petrol would be one-fifth less expensive in Iran than in neighbouring Iraq and Kuwait. The price in Turkey is $1.34 per litre.
Subsidised petrol in Iran is available to all people that have bought cars produced in the country.
OPEC is “likely to collapse” because some of its members are working against fellow oil producers, Iranian Oil Minister Bijan Zangeneh has said, making an unmistakeable reference to Iran’s regional arch-rival Saudi Arabia and its close ally United Arab Emirates (UAE).
US President Donald Trump has essentially said he’s signed up the Saudis and the UAE to provide enough crude to help steady world oil prices as his policy of using sanctions to try to drive Iranian oil exports to zero.
“Iran is an OPEC member just for its interests and if certain OPEC members want to threaten and endanger Iran, Iran will not refrain from responding to them,” Zangeneh told Shana, the oil ministry’s news agency, following a meeting with OPEC secretary general Mohammed Barkindo in Tehran on May 2. “I told Mr Barkindo that OPEC is being threatened due to unilateralism by certain members and this organisation is likely to collapse,” he added.
Saudi Arabia has not been particularly vocal in committing to raising its oil output to fill any market supply gap. After Trump made it clear he was relying on Riyadh, Saudi Energy Minister Khalid al-Falih said the kingdom would consult with producers and consumers “to ensure a well-balanced and stable oil market”.
OPEC and its oil market allies, including Russia, are scheduled to meet on June 25-26 in Vienna. The meeting will decide whether to extend their deal to limit oil supply. It has been in place since January and expires at the end of June.
Saudi Arabia can push up its output to a certain extent and remain in compliance with the deal because it is currently pumping about 500,000 b/d below its quota.
Last autumn, Qatar warned it would leave OPEC, claiming that as a small oil producer it could not get its voice heard in the organisation. Angered by some of its political choices, such as support for the Muslim Brotherhood, Saudi Arabia, the UAE and other of their allies have kept Qatar under embargo since June 2017.
To keep hold of a significant market share on world oil export markets, Iran is relying on big buyers of its crude such as China, India and Turkey not cooperating with the US move against its shipments. There could be overt or covert moves by such countries to keep Iranian oil flowing to their markets. The Chinese, Indians and Turks have made their displeasure known over the US expecting all countries to comply with its unilateral sanctions against Iran’s economy.
9.1.2 Automotive sector news
Saeed Bastani, a member of Iran’s parliamentary commission on industries, mining and trade, has disclosed that the government plans to sell its stakes in automakers Iran Khodro (IKCO) and SAIPA, according o6t Iran Student News Agency.
The Rouhani administration announced at the beginning of its second term in
37 IRAN Country Report June 2019 www.intellinews.com