Iran is rushing to export as much oil as possible during a 60-day U.S. sanctions waiver that expires August 21. Since the memorandum of understanding was signed on June 17, Iran has exported over 40 million barrels of crude, according to parliament speaker Mohammad Bagher Ghalibaf, with tanker-tracking data suggesting volumes as high as 50 million barrels. Daily shipments have surged, reaching a single-day peak of around 8 million barrels per day, as Iran clears a backlog that built up when the U.S. blockade effectively halted all exports in May and early June. The price of Iranian oil has risen 20% since the deal, narrowing discounts and boosting revenues, though China remains the primary buyer amid uncertainty over whether the negotiations window will be extended.
Iran's surge in oil exports adds to global supply, which is negative for Brent crude prices.
Iran is rushing to export large volumes of crude during a sanctions waiver, increasing global oil supply and putting downward pressure on WTI prices.