Will a Renewed Iran Nuclear Deal Cut Energy Prices?
The old 'carrot and stick' - [They] are offering Americans 'reduced fuel costs' in return for re-implementing the 'Iran Deal'. If it sounds too good to be true, it's probably because it is.
As Russia squeezes Europe on supplies of natural gas and Europe readies an embargo on Russian oil, some are looking for help from Iran. That is, of course, if and when Tehran and Washington agree to revive the 2015 nuclear deal, lifting tough economic sanctions on Iran that have limited its ability to export energy.
But even if a deal comes tomorrow, putting it in place will be complicated and phased, and it is likely to take several months before sanctions on Iran are lifted. There may be an early impact on the oil market to soothe nerves, but supplies would come too late to alleviate world markets this winter, experts say.
For Europe, oil is not really the problem. Russia is denying large amounts of natural gas to European countries, which are trying to source it elsewhere. While Iran has lots of natural gas, it uses most of it domestically, including for many automobiles, and it lacks pipelines to Europe or facilities to liquefy natural gas.
“Iran in the short term will have some additional oil exports, but not gas, which is what Europe really needs,” said Simone Tagliapietra, an energy expert at Bruegel, an economic research institution. “I would not bet on Iran to rebalance the global energy market anytime soon.”
Jacob Funk Kirkegaard, an economist with the German Marshall Fund, said that “what Europe needs is gas and there’s no way to get it there from Iran and not in a time frame that matters to anyone this winter.”
https://www.nytimes.com/2022/09/01/world/europe/iran-nuclear-deal-energy-prices.html
Trading Threats, the U.S. and Iran Inch Closer to a Nuclear Pact
https://www.nytimes.com/2022/01/12/world/middleeast/us-iran-nuclear-deal.html?action=click