Energy Cooperation Discussed With China

Energy Cooperation Discussed With ChinaEnergy Cooperation Discussed With China

Tehran and Beijing discussed grounds for cooperation in a meeting between Iranian Ambassador to China Ali Asghar Khaji and deputy director of China's National Energy Administration, Zhang Yuqing, in Beijing.

Referring to Iran's massive oil and natural gas reserves and describing China as a major energy consumer in the world, Khaji said the two countries can play a complementary role in the energy sector, IRNA reported.

He referred to Tehran's "solid relations" with Beijing and said Chinese companies can play a part in developing the country's upstream and downstream oil and gas industry.

The Chinese official also expressed his country's interest in investment opportunities, particularly in oil and gas sector, emerging in post-sanctions Iran and called for bolstering trade and diplomatic relations. According to reports, China's Iranian crude imports in the first half of 2015 were at 589,400 bpd, down 6.1% compared with the same period of last year. In 2014, China imported roughly 555,000 bpd of Iranian oil.

Chinese media have speculated that Iran's oil supply can rise by 50% of current levels, once oil and trade sanctions against the Persian Gulf country are lifted.

China's Sinopec Corp, Asia's largest refiner, and state-owned Zhuhai Zhenrong Corp extended a contract last week to import around 505,000 bpd of crude from Iran in 2016, the same as this year.

China, Iran's top oil client, imported 1.44 million tons of Iranian oil last month, or 338,300 bpd, 18.8% lower from September, according to China's customs data.