Iran considers options with India over oil

TEHRAN, Jan. 31 (UPI) -- Iran could seek other oil customers if a solution isn't found to a payment issue with India, an Iranian natural resources official said.

The Reserve Bank of India in late December closed the Asian Clearing Union route for Indian purchases of Iranian crude oil in part because of U.S. economic sanctions targeting Iran's energy sector.

Tehran said it would sell crude oil to India on credit while both sides work on new ways to pay for the transactions. Mehdi Fakheri, a vice president of international affairs at the Iranian Chamber of Commerce, Industry and Mines, told Bloomberg News, however, that Tehran was getting impatient.

"If there is no payment solution, I am afraid Iran will be selling its oil to other countries," he said.

Fakheri told the news agency there were potential offers from European and Asian customers if the payment issue isn't settled.

"If for any reason the Indian government is not in a position to pay, we better find other clients and get paid," he was quoted as saying.

Iran pumped more than 3.5 million barrels of oil in December, putting it in the No. 2 spot in the Organization of the Petroleum Exporting Countries. Iran is India's second-largest supplier of crude after Saudi Arabia.