Mr H I read an article (sorry but don't post much on here these...

Mr H I read an article (sorry but don't post much on here these days) which stated that Irans oil fields are in drastic decline due to the lack of maintanence in the time of the sanctions plus there has been no money spent on enhanced recovery systems.

Iran is now trying to entice the majors with a greatly modified production agreement which reportedly will give any oil company who invests in Iranian oil a share of the production, the meeting where the Iranians were to reveal the new contract was meant to take place in London mid Jan 2016 but was postponed by the Iranians until mid March. The purpose of the revised contract is to give the majors a vastly more attractive terms to entice the $billions of dollars required to bring the production up to what is universally expected but just how long this will take would be a very good question.

The article also questioned the wisdom of the majors investing in Iran by questioning whether the Irians can be trusted after their treatment of the western companies during and after the revolution.

I would now question just how much oil Iran will be able to sell into the world market in the next few years, also something that must be taken into account is that Iranians have to maintain their production for the domestic market so it it questionable just what quantity of excess oil Iran will actually be able to produce for the international market once sanctions are lifted.

HKP