Iranian fuel oil exports to Iraq rise

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TEHRAN, July 24 (UPI) -- Exports of fuel oil to Iraq from the Abadan oil refinery in southern Iran reached new levels in the first half of the year, executives say.

Directors at the Abadan oil refinery said that of the 4.2 million gallons of fuel oil produced at the facility, 10 percent was exported to Iraq through tanker vessels.

In the second half of the last Iranian year, which starts March 20, Iran exported around 115,000 gallons of fuel oil per day.

Plans are in the works to increase that volume in the current year, the Petroenergy Information Network reports.

Chinese refiner Sinopec, meanwhile, agreed to work on a memorandum of understanding with Iran for expansions to the Abadan refinery, which was once the largest in the world.

That project would increase gasoline production at Abadan by 29 percent.

Nureddin Shahnazizadeh, who directs the National Iranian Oil Refining and Distribution Co., said talks with China were "positive," adding the MOU could entail $6 billion in investments.