'The reintroduction of Iranian oil to the market makes Saudi Arabia unlikely to significantly scale back production in the first half of 2016 to defend the price of oil,' the forecast said, according to Sputniknews.
On July 14, Iran and a group of six international negotiators signed a historic accord to guarantee the peaceful nature of Tehran's nuclear activities in exchange for sanctions relief. The lifting of sanctions will allow Iranian oil producers to re-enter the market.
'The implementation of the Iran nuclear deal at the beginning of the year 2016 will add at least 500,000 barrels per day to the oil market followed by a slower production increase over several months,” the forecast said.
