Monday 6 August 2012

Kuwait Oil Minister: Iran, regional tension pushing oil price up


Kuwait Oil Minister, Hani Hussein, has said that drop in Iranian production coupled with regional tensions were pushing oil prices higher.  According to Hussein, "Iranian production has dropped which has contributed to raising prices and fears from regional tensions and economic issues have also pushed prices higher”.
Hussein said that despite geopolitical tensions, "oil supplies are going well and there is enough production to meet market demand which is a positive signal to the market." Iranian oil production has dropped sharply following European and US sanctions on the Islamic republic over its nuclear programme, according to OPEC.
Global oil prices rebounded sharply after better-than-expected jobs data in the United States and ongoing tensions over key producer Iran.  New York's main contract, West Texas Intermediate (WTI) light sweet crude for September, jumped $4.27 to $91.40 a barrel. Brent North Sea crude for delivery in September soared $3.04 to $108.94 a barrel in London deals.
US President Barack Obama imposed new economic sanctions on Iran's oil export sector and on a pair of Chinese and Iraqi banks accused of doing business with Tehran.

No comments:

Post a Comment