KUALA LUMPUR - Iran is in discussions to store strategic oil in China and to
build refineries around Asia, Oil Minister Kazem Vaziri-Hamaneh said on Monday,
as it seeks secure outlets for its crude in the face of Western economic
He said there is no shortage of crude in the market and the Organization of
the Petroleum Exporting Countries has no plans to increase supplies, in the
latest producers' rebuff to consumer nation calls for more oil.
Vaziri-Hamaneh said the world's fourth-largest oil exporter is in discussions
to store strategic crude in the world's second-largest oil consumer China, which
has been been building up reserves in the past year.
"We have some plans... we have discussed with them to have a role in storing
strategic reserves in China," he told reporters on the sidelines of the Asia Oil
and Gas Conference in the Malaysian capital.
China has completed filling its first 33 million-barrel Zhenhai facility and
had been scheduled to make the first crude fill into its second strategic
storage facility at Aoshan by end-May, part of its aim of a 100 million-barrel
pad by end-2008.
The crude came from countries such as as Angola, Iran and
Sudan, shipping sources had said.