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Yes, there are some 30

Yes, there are some 30 million to 38 million barralesare floating in tankers in Persain Gulf...

LONDON (Dow Jones)--Iran is storing an estimated 30 million to 38 million barrels of crude oil in floating tankers, the International Energy Agency said Wednesday.

"Weaker demand for heavier crudes, unattractive price formulas and the threat of new sanctions have combined to reduce buying interest in the country's heavier, sour crudes," prompting floating storage to nearly double since the end of March, the IEA said.

Seasonal refinery maintenance in Asia--where Iran sells most of its crude--have also contributed to the crude glut.

"Volumes at sea may continue to build until refiner demand returns after turnarounds, or NIOCNIOC [National Iranian Oil Co.] improves its sales terms," the IEA said.

Iran is unlikely to curtail its oil production, which stood around 3.7 million barrels a day in April, because the country needs to produce near current high levels "in order to maintain gas pressure at aging fields and meet domestic demand."

Unsold barrels are building up due to a general trend of customers cutting or canceling term crude-oil contracts.

"Term customers have turned away from Iran in part due to weaker demand for heavier, sour crudes, as well as NIOCNIOC's uncompetitive pricing relative to similar quality crudes," the agency said.

In 2008 when Iran was faced with a similar buildup in floating storage, it took five months to sell off the surplus barrels, the IEA said.

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