The Energy Transition in Iran

Iran's significant role in global energy and mineral sectors is compounded by its vast natural resources, including critical minerals such as uranium, copper, and gold. Despite facing international sanctions, Iran continues to leverage these resources, particularly its uranium reserves, which have sparked geopolitical tensions due to concerns over its nuclear ambitions. While the country remains largely dependent on petroleum, natural gas, and nuclear energy, it is also investing in renewable energy solutions such as solar, wind, and hydropower to diversify its energy mix. Iran’s abundant mineral resources, including rare earth elements like titanium and zinc, are vital for the clean energy transition, positioning Iran as an important player in global supply chains for critical minerals. However, the nation’s uranium production and enrichment activities, which have raised concerns internationally, contribute to the complex geopolitical environment in which Iran operates. These developments, combined with evolving ESG frameworks, influence Iran’s future trajectory in the global energy market. Iran’s strategic location in the Middle East, its membership in multiple international organizations, and its energy and mineral potential make it a key player in the region, despite the ongoing risks posed by its nuclear programme.