Iran to build $1.8 bln oil pipeline to Gulf of Oman terminal: Minister

Iran will build a $1.8 billion oil pipeline to the Gulf of Oman terminal, said the country’s Minister of Petroleum Bijan Zangeneh.

Iran will build a $1.8 billion oil pipeline project connecting Goreh in the country’s Bushehr province to Jask Port on the Gulf of Oman, the country’s oil ministry said in a tweet, citing minister of petroleum Bijan Zangeneh.

The announcement comes as Iran is looking to move its main oil export terminal from the Arabian Gulf to the Oman Sea to secure its oil exports in the region amid an intensifying standoff with the US and its allies.

The US-Iranian confrontation has ratcheted up since last year, when US President Donald Trump withdrew from Iran’s 2015 nuclear deal with major powers and reimposed sanctions that have crippled the Iranian economy.

“The project would transform the region as various oil storage facilities, export jetties, wave breakers and single buoy mooring systems would be built in Jask,” the minister said on the oil ministry’s official twitter handle.

He also said that two refineries, as well as petrochemical facilities were planned to be built in the region afterwards.

US sanctions on Iran’s oil industry have slashed the OPEC member’s crude exports by more than 80 percent, but oil product sales from the country remain strong at nearly $500 million a month, according to a Reuters report from last month.

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Last Update: Wednesday, 20 May 2020 KSA 09:56 - GMT 06:56
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