Iran’s supreme leader Ayatollah Ali Khamenei on Sunday bemoaned his country’s oil production levels and called for the diversification of its export markets as Tehran faces renewed pressure from the West.
“Oil production in the country – with the importance it has in the economy, which is obvious – is low,” Khamenei said in a meeting with cabinet members.
“Our oil production methods are old methods; the tools are old … We are behind many of the oil-rich regions of the world.”
Iran’s oil industry has been under crippling Western sanctions since the US withdrew from the 2015 nuclear deal in 2018 under Donald Trump in his first term.
Since returning to office, Trump has pursued a “maximum pressure” strategy against Iran to cripple its economy.
Khamenei also called for “more dynamism” in oil exports, stressing the need for multiple and diverse customers, with China still the dominant buyer of Iranian oil.
About 92% of Iran’s oil is destined for the Asian giant, often at significant discounts, according to Iranian media.
Relations with Europe have also deteriorated over Iran’s nuclear programme. Last month, Britain, France and Germany triggered the so-called “snapback” mechanism under the 2015 nuclear deal to reimpose UN sanctions.
Iran halted cooperation with the UN’s IAEA nuclear watchdog following a 12-day war with Israel, during which the US and Israel struck key Iranian nuclear facilities.
The conflict disrupted nuclear talks between Tehran and Washington aimed at reaching a new deal.
Foreign minister Abbas Araghchi said in a Sunday-published op-ed in The Guardian that Tehran remains open to diplomacy and “there is still time – and a dire need – for an honest conversation.”
