TEHRAN, Oct. 28 (MNA) � Iran�s NIOC has announced new criteria for its oil customers.

Seyed Mohsen Qamsari, National�Iranian�Oil Company�Director�for�International Affairs told the press that destination, financial capability, and a good reputation were the NIOC�s criteria for customers.


�Until before the sanctions target the Iranian economy and oil industry, Iran had been selling oil to foreign companies according to valid contracts,� added Qamsari, �higher financial and logistical capability, and a good reputation also were to be considered in choosing oil customers.�


Qamsari told the press that conditions had taken effect after approval by the NIOC board of directors. �However, after sanctions which set restrictions on oil sale, the conditions changed drastically,� he said.


�The cabinet drafted the conditions and notified to the oil ministry, and was approved by the minister,� he added.


Qamsari divided Iran�s oil customers to two categories; the first category consisted of traditional refineries in India, China, South Korea, Japan and Turkey, who traditionally imported Iran�s oil; in the second category, he placed �refineries with higher operational and financial capacities,� and NIOC should be ensured about the final destination of its oil.


Due to the difficulties of transfer of financial resources of oil income, he emphasized that customers should pay 5 per cent of the value of oil in advance, with the rest of the value to be paid after loading and before discharging in the buyer country�s terminal. �Iran�s oil price is set according to a formula and in monthly basis,� he said.


In response to a question whether Iran�s oil enjoyed better processing properties compared to Saudi Arabian oil, Qamsari said that currently, �more distillation products such as kerosene and diesel are produced from Iran�s oil than from Saudi Arabian oil,� he said, believing that however, �both crudes are the same in quality and API (American Petroleum Institute) measures of gravity.�


�Iran sets its oil price traditionally after Saudi Arabia, since the country has the lion�s share in world oil market with 9.8 million barrels per day,� he said.


By Mehr News Agency





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