Iran’s central bank chief, Mohammad-Reza Farzin, revealed that the country’s oil and gas sector experienced a growth of over 16 percent in the first nine months of the current Iranian calendar year, which spanned from March 21 to Dec. 21, 2023. This information was reported by the Shana News Agency affiliated with the Iranian Oil Ministry on Friday.
Farzin credited this significant growth rate in the oil and gas sector to the successful completion of key projects in recent years. He highlighted that the expansion of Iran’s crude oil production capacity in the same period contributed to facilitating this growth. The governor expressed optimism about the sector’s continued growth in the upcoming Iranian calendar year, starting on March 20, attributing it to favorable investments in the domestic oil and gas industry. He noted that the growth rate in the oil and gas sector outpaced that of other sectors in the Iranian economy.
Since May 2018, the United States has imposed sanctions on Iran following its withdrawal from the Joint Comprehensive Plan of Action, commonly known as the nuclear deal, signed in 2015. These sanctions target Iran’s oil exports and financial transactions, impacting the country’s economy.
The U.S. Energy Information Administration, part of the Department of Energy, reported that Iran held an estimated 209 billion barrels of oil reserves by the end of 2021, making it the world’s third-largest holder of crude oil. Additionally, Iran’s proven natural gas reserves were estimated at 1,203 trillion cubic feet as of December 2021, ranking the country second only to Russia, according to the Oil & Gas Journal.
Farzin emphasized the importance of the oil and gas sector in driving Iran’s economic growth, highlighting the sector’s resilience in the face of sanctions. He pointed out that investments in oil and gas infrastructure have played a crucial role in supporting the sector’s expansion, contributing to overall economic development.
The governor expressed confidence in the continued growth trajectory of Iran’s oil and gas industry in the coming year, signaling further investments and development projects on the horizon. Despite challenges posed by international sanctions, Iran’s energy sector has shown resilience and adaptability, maintaining its position as a significant player in the global oil and gas market.
With the upcoming Iranian calendar year set to unfold, stakeholders in the oil and gas sector are optimistic about the industry’s prospects, buoyed by ongoing investments and strategic initiatives aimed at bolstering production and efficiency. Iran’s rich reserves of oil and natural gas provide a solid foundation for sustained growth, with opportunities for expansion and innovation in the energy sector.
In conclusion, Iran’s oil and gas sector’s robust performance in the past year serves as a testament to the industry’s resilience and capacity for growth despite external challenges. As the country looks ahead to the new year, the oil and gas sector remains a vital component of Iran’s economy, driving progress and prosperity through strategic investments and development efforts.
