US Pressure on Iran could render oil market more fragile

Speaking on a live radio interview, Zangeneh reacted to rumors that oil facilities had been built on land in order to reduce costs leading to drying up of wetlands in oil-rich areas, saying that such rumors were spread by enemies of the Iranian nation, Shana reported.

“There are films from oil facilities in wetlands that are drowned in water,” he said.

He emphasized that there was no ban on the issue of Hoor al-Azim Wetland from the Iranian Ministry of Petroleum, adding, 'Our policies have always been concerned with the ecosystem of the wetland as a living system and, for that matter, we have incurred a lot of expenses.”

Highlighting the latest US President Donald Trump's threats on Iran, Zangeneh said, 'We continue to work, but what's important is that the oil market is in a fragile state, and that there is not so much supply for the demand.”

“Such statements are mostly propaganda-oriented rather than calming the market. But that will not be the case. The price of oil is rising day by day, reflecting growing concerns in the market,” he said.

The official argued that “Mr. Trump should choose whether to add more pressure on Iran or keep fuel prices low on gas stations in the US.”

“Venezuela is now in difficulty; Russia has been banned; Libya is in a state of unrest and the US has lost a part of its oil output. These indicate that the state of production, supply and demand are fragile. If they want to add pressure on Iran, this fragility will be unpredictably exacerbated.”