"Iran's experience in building stocks during the Covid crisis, available space at other facilities, and efforts to increase alternate storage and export facilities over the past 10 years suggest it may not face an imminent crude oil shut-in."
"The estimate that Iran only had enough storage to maintain production for two weeks presumed it wouldn't be able to export oil during this time, a presumption that has not been borne out."
"Even if the US blockade is completely successful - and, importantly, right now it isn't - the Islamic Revolutionary Guard Corps would be able to rely on alternative revenue sources to keep its troops paid and its position in Iran secure."
"Iran had access to 20 Very Large Crude Carriers, which can be easily repurposed for floating storage, enhancing its ability to manage oil exports despite external pressures."
Iran possesses extra oil storage capacity and can potentially navigate around blockades, allowing it to maintain production levels. Analysts suggest that Iran's experience during the Covid crisis and its development of alternate storage facilities over the past decade contribute to its resilience. Estimates regarding Iran's storage capabilities have been challenged, indicating that the country can halt production without severe consequences. The Islamic Revolutionary Guard Corps has alternative revenue streams, such as smuggling, which can support its operations despite US sanctions.
Read at Axios
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