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FINANCIAL NEWS
Iran cautions Arab Gulf countries of increasing oil output
16 Jan 2012
(MENAFN) Iran’s OPEC Governor, Mohammad Ali Khatib, said that in case the European Union imposed an embargo on Iran’s oil imports, GCC countries shouldn’t increase output to offset shortages in the oil market, reported Emirates 24/7.
Khatib added that Arab Gulf countries should implement wise policies, as cooperating with EU countries and submitting to its decision would have unpredictable consequences.
On the other hand, Saudi Oil Minister, Ali al-Naimi, said that the Kingdom was ready to meet any increase in consumer countries’ demand and to compensate any shortfall.
It is worth noting that the EU have agreed in principle to ban imports of Iranian oil as part of the latest Western efforts to retrain Iran’s nuclear program, however, EU countries proposed “grace periods” on existing deals of one to 12 months in order to allow firms to find other suppliers before implementing an embargo.
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