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Major oil producers to meet in Doha

CCTV.com

04-07-2016 19:28 BJT

Russia, Saudi Arabia and other major oil producers will meet in Doha on April the 17th to discuss proposed limits on oil production. Iran has indicated it's "ready to participate", but has demanded an exemption from the output freeze. CCTV spoke with several Iranian experts to find out why.

After years of crippling economic sanctions, Iran's oil production suffered serious decline. It fell from the second biggest oil producer in OPEC to the fifth.

With sanctions lifted in January, Iran wants to recover its share of the market. And it's in no mood to be told it cannot do so.

"It's a joke. It's so ironic. The oil output of those countries have already peaked. Then they say let's freeze it, and demand us do the same. It will do no good to Iran. It's not fair," said Morteza Behrouzifar, vice chief of Iranian Association for Energy Economics.

Iran's return couldn't have come at a worse time. Saudi Arabia, in particular, has drowned the oil market in excess supply. Prices have collapsed from levels above 100 US dollars per barrel seen in mid-2014, standing now at around 40.

Russia, Saudi Arabia, Qatar and Venezuela agreed in February to freeze production at January 2016 levels, and urged other oil producers to join them.

But Iran is determined to increasing its production and exports until it regains its pre-sanctions market position.

"Only when Iran's production returns to the original level can we freeze output and fully support OPEC's decision," said Fereydoun Barkeshli, Iran's former envoy to OPEC.

Many experts have cast doubts on whether an output freezing agreement will be reached in the Doha meeting.

Saudi Arabia has already said it will only freeze output if other key producers, including Iran, take similar action.

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