Page added on February 7, 2007
…An energy crisis looms over Iran’s future. They currently consume half of their oil production. As the consumption rate increases, their available income will seriously diminish.
In 2004, oil exports accounted for 65% of the government’s revenue. Any disruption within their oil sector would cripple their economy. And their oil industry is continually degrading.
The failure to modernize drilling and recovery methods is a major reason why they are unable to increase oil production.
And improvements in Iran’s oil industry may not happen.
The inability to attract foreign investors has led to less oil production. Consistent failure to meet production quotas costs Iran more than $5.5 billion dollars a year.
Leave a Reply