The lifting of sanctions on Iran is likely to see Europe — and especially the Mediterranean — emerge as the primary destination for additional Iranian crude oil shipments, at least initially, analysts and trading sources said. The US and EU late Saturday lifted key sanctions against Iran, removing constraints that have capped its crude exports at just 1 million b/d over the past four years. Iran’s oil ministry was quick to activate plans Sunday to raise output by 500,000 b/d, issuing an order to its state-owned companies to increase production and placing the National Iranian Oil Terminals Company on standby. European refineries had been, in turn, on standby while talks for lifting the sanctions were under way in 2015. “We think that Iran will be looking to re-establish the European outlets it supplied pre-sanctions, and that refiners — especially in the Med — will be interested in buying these […]