TEHRAN -- Iran’s oil exports reached $35.8 billion in the 12 months to end-March 2024, head of Customs Muhammad Rezvanifar said on Tuesday.
Despite the reimposition of U.S. sanctions on Tehran in 2018, Chinese purchases of Iranian oil have allowed the country to maintain a positive trade balance.
Without oil exports, Iran would have registered a $16.8 billion trade deficit, Rezvanifar said.
He added that total trade registered a 2.6% year-on-year increase, reaching a value of $153 billion, of which $86.8 billion was Iranian exports.
Iran also marked a significant milestone in the global energy sector with the discovery of considerable shale oil reserves across several regions. 
Mehdi Fakour, the director of exploration at the National Iranian Oil Company (NIOC), revealed that more than 2.5 billion barrels of oil have been added to Iran’s crude oil and natural gas reserves, courtesy of new exploration activities. 
The development not only boosts Iran’s standing in the oil market but also introduces a groundbreaking model for shale oil extraction that could set a new cost efficiency standard worldwide.
Traditionally, the extraction of shale oil has been an expensive and environmentally challenging process. However, Iran’s innovative approach aims to change this narrative. 
Fakour announced the development of a unique and localized model for shale oil production, which significantly reduces extraction costs to about $25 per barrel in the western province of Lorestan. 
The figure starkly contrasts with the approximate $40 per barrel cost in the United States, positioning Iran as a potential leader in cost-effective shale oil production.
Iran’s shale oil discovery and the subsequent reduction in extraction costs could have far-reaching implications for the global oil market. 
With established conventional oil reserves of 158 billion barrels, Iran is already a major player on the global stage. The addition of shale oil reserves and the ability to extract them cost-effectively could alter market dynamics, potentially leading to increased supply and possibly affecting global oil prices. Furthermore, Iran’s indigenous model for shale oil extraction, if replicated, could shift the technological landscape of the oil industry.
While the discovery of shale oil reserves and the development of a cost-effective extraction model represent significant achievements for Iran, challenges remain. 
The environmental impact of shale oil extraction, geopolitical tensions, and market acceptance of Iran’s oil are factors that could influence the ultimate success of these endeavors. 
Moreover, the global shift towards renewable energy sources and the transition away from fossil fuels may also play a role in shaping the future demand for shale oil.
Iran’s breakthrough in shale oil exploration and extraction underscores the nation’s ongoing commitment to enhancing its energy sector and its potential to influence global oil markets. 
As the world watches, the implications of these developments on environmental policies, market dynamics, and geopolitical relations will unfold, setting the stage for a possibly redefined energy landscape.