Iran Oil Minister Resigns Amid Dwindling Crude Supplies

Iran's oil minister Mohsen Paknejad resigned on Sunday without explanation, amid concerns over the country's dwindling oil reserves. State media confirmed his resignation, which follows reports that Iran has not loaded any oil at its export terminals since August.

Just hours before announcing his departure, Paknejad stated that revenue from sold oil was still coming in, but these funds are largely from sales made before the US Navy reimposed its blockade of Iranian ports in mid-July. At the time, there were approximately 90 million barrels of crude sitting on tankers outside the blockade.

However, by early September, this stock had dwindled to around 29 million barrels, and Kpler estimates that it could be depleted by mid-October. Payments for these sales may trail into December, but even then, they are difficult to collect due to sanctions and restrictions on Iranian assets abroad.

The country's oil funds about a third of its budget, and the rial has crashed to a record 2.7 million per US dollar in response to the crisis.