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Iran Planning New Major Oil Export Terminal at the Port of Jask

Iran Planning New Major Oil Export Terminal at the Port of Jask (T.W. van Urk / Shutterstock)

The port of Jask on the southern tip of Iran has long been seen as a potential new export terminal for Iranian petroleum and petroleum products. Now, nearly three years after the Iran Nuclear Accord and the resumption of trade and investment with the country, a tender for the construction of part of the pipeline to transfer crude oil to Jask is due to be held in the days ahead, according to Ali Kardor, Managing Director of the National Iranian Oil Company (NIOC).

Comprehensive plans call for laying 1,000 km of pipeline from Genaveh in Bushehr Province to Jask will significantly speed up oil loading and shipping operations in Iran as a whole and particularly in congested Kharg Island, which is responsible for more than 90 percent of Iran's oil exports.

An additional tender will be held for the construction of crude storage units, though Iran has expressed its dissatisfaction with the limited interest shown by the world community in the project. This likely has more to do with the complicated nature of American relations with the Islamic Republic than with any inherent commercial shortcomings of the project.

The Jask Oil Terminal will have the capacity to store up to 30 million barrels and export 1 million barrels per day of crude oil once completed.
Mohammad Saghaei, an Oil Ministry advisor, noted that the terminal is estimated to cost upwards of $2 billion and be completed by 2021.

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