Iran’s state-owned National Iranian Oil Company (NIOC) is negotiating with the Philippines to export four million barrels of crude oil every month.
NIOC is liasing with the Philippines' National Oil Company (PNOC) over the deal, reported Reuters.
PNOC is a part of the 11 international company consortium Pergas, which has signed the non-disclosure agreement (NDA) with the National Iranian South Oil Company (NISOC) to study two oil fields.
Iran's English-language Press TV carried a report stating that based on this deal, the consortium will have six months to accomplish the field study and submit the reports to the NISOC.
A member of Organisation of the Petroleum Exporting Countries (OPEC), Iran was exempted from reducing oil production at the recent decision by the group to reduce output.
Iran is the third largest producer of petroleum products in OPEC and is expected to increase its output this year.
The country exports more than 500,000 barrels per day of refined products, including oil and gas, mainly to Asian-based countries.
The top four importers of petroleum from Iran are China, India, South Korea and Japan. Combined, these four Asian giants imported nearly 1.94 million barrels of oil per day last month, reported the Financial Tribune.
China’s petroleum company Sinopec is currently developing a refinery in Philippines that will have the capacity of 400,000 barrels per day.
PNOC intends to seal this oil deal with Iran to meet the prospective growth in demand.
Iran and the Philippines have shared bilateral relations since 1974, reported Tasnimnews.com. Since then, both countries worked together to improve their relations and increase their cooperation in different areas of mutual benefit.