Iran’s oil production has sharply declined due to renewed U.S. sanctions and a naval blockade, significantly impacting the country’s export capabilities. Loadings in August were reported to be around 220,000 to 260,000 barrels per day, a marked decrease from earlier in 2026 when loadings were between 1.7 million to 2.0 million barrels per day. This situation has increased operational costs for Iran, as it must manage aging wells and shared oil fields, potentially leading to longer-term production challenges. Markets are pricing in a 12% probability that crude oil could reach a new all-time high by the end of December 2026, reflecting concerns over tightening supply.
Source: Read the original article
