The global oil glut will grow even larger and may last for a long time, closely followed oil analyst John Kilduff said Thursday.
"We have a ways to go" before oil bottoms, said the founding partner of Again Capital, an alternative investment manager specializing energy and metals.
"There's a new wrinkle to this bearish market almost on a daily basis, ... whether it's Iran ramping up exports or the worsening conditions in China," Kilduff said on CNBC's "Worldwide Exchange."
He said Iran, which has just rejoined the export market, has discounted its official selling price for European customers to compete with Russia and Saudi Arabia. "India especially is [also] stepping up to resume purchases in a big way of Iranian oil."
In this massive market share battle, which now includes the re-entry of U.S. crude exports, Kilduff said there's skepticism among traders about whether Iran will be able to deliver after being barred from international markets for so long because of sanctions over its former nuclear program.
"[But] I would totally caution against not believing in them," he said, referring to Iran. "They can do it. There's a ton of floating storage. The ability to ramp up their infrastructure to achieve this ramp-up in exports is easily done."