Iran expands Kharg Island crude export capacity

OREANDA-NEWS. June 22, 2016. Capacity at Iran's main crude export terminal on Kharg Island has been increased to allow eight simultaneous tanker loadings, according to operator state-owned IOTC.

Up to eight tankers can now berth at the terminal's eastern harbour, with capacity for one additional vessel to load a simultaneous ship-to-ship cargo.

IOTC said there is capacity to store 30mn bl of crude at Kharg Island. State-owned tanker company NITC is also using very large crude carriers (VLCCs) for storage in the Mideast Gulf.

The capacity increase follows a series of infrastructure upgrades over the past two years. Iran has prepared its oil terminals for 6mn b/d of exports following the removal of nuclear-related sanctions, according to IOTC. Argus estimated Iranian production at 3.45mn b/d and exports at 2.1mn b/d in May. Iranian officials put production at 3.8mn b/d, up from around 2.8mn b/d in the fourth quarter of 2015.