Economics
Iran's Oil Comeback May Already Be Over
- Crude output may peak in 2016 at 3.6-3.8 million barrels a day
- Investors facing sanctions, political risk in entering country
Iran's Oil Comeback Hits a Bump
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Iran easily beat expectations with its speed in boosting oil exports after the lifting of sanctions. Without an injection of cash and the easing of remaining trade barriers, the recovery may have run its course.
When restrictions on Iran’s oil exports were relieved in January following a nuclear pact with world powers, analysts from Goldman Sachs Group Inc. to Barclays Plc doubted it could return to previous levels this year. The Persian Gulf state defied the skeptics with a 25 percent surge in production and aims to reach an eight-year high of 4 million barrels a day by year-end.