JP\/13\/Oil<\/p>\n
Oil prices reach new zenith as Iraq peace hopes fade<\/p>\n
Agence France-Presse
\nLondon<\/p>\n
World oil prices set new records on Thursday as hopes of an
\neasing of tensions in Iraq faded and Iraqi forces prepared for a
\nnew assault on the forces of Shiite militia leader Moqtada Sadr.<\/p>\n
New York's main oil contract, light sweet crude for September
\ndelivery, climbed 53 U.S. cents to a new all-time peak of
\nUS$47.80 per barrel in pre-opening electronic trading.<\/p>\n
The contract closed Wednesday at record settlement of $47.27.<\/p>\n
In London Brent North Sea crude for October delivery gained
\nsurged 72 U.S. cents to $43.75 per barrel in early afternoon
\ndeals.<\/p>\n
Prices shot higher as an Iraqi government minister threatened
\nan offensive against the forces of Sadr within hours.<\/p>\n
\"We have been preparing for a military offensive for five days
\nto put an end to this crisis,\" said Minister of State Kassem
\nDaoud.<\/p>\n
The Iraqi government accused Sadr of failing to act on a
\nreported promise to disarm and abandon his shrine in Najaf. \"The
\nmarket is still strong on concerns that this Iraqi uprising looks
\nto be carrying on,\" said Robert Laughlin, a trader with GNI-Man
\nFinancial.<\/p>\n
\"There is talk about Sadr wanting to negotiate an end but
\nthere seems to be a lot of talk but nevertheless no action,\" he
\nadded.<\/p>\n
The financial troubles of Yukos, Russia's largest oil
\nproducer, were also still worrying traders.<\/p>\n
On Wednesday, a spokesman said Sadr had accepted three
\nconditions laid down at a key national conference, namely to
\ndisarm his militia, leave the Imam Ali shrine, one of the holiest
\nin Shiite Islam, and join the political process.<\/p>\n
But an aide to Sadr, Sheikh Aws al-Khafaji, told Al-Jazeera
\ntelevision on Thursday: \"We will not hand the keys of the
\nmausoleum to the American forces because it will be a shame that
\nwill haunt us forever.\"<\/p>\n
Exports of crude from Iraq's southern oil terminals have been
\ncut by half to around 40,000 barrels per hour for a week because
\nof threats to infrastructure from Shiite Muslim militia,
\naccording to Southern Oil Company officials.<\/p>\n
Oil prices reached new highs on Wednesday on the back of
\n\"Iraqi supply disruptions, lingering doubts over Yukos, and
\nspeculative activity pushing\", Standard Chartered bank said in a
\nnote to clients.<\/p>\n
But it argued that the \"news flow is getting better\".<\/p>\n
\"U.S. inventory data showed levels are about normal for
\nAugust, and OPEC's monthly report confirmed output is more than
\nsufficient to meet forecast demand through 2004 and 2005, with or
\nwithout Iraq output.<\/p>\n
The U.S. Energy Department said on Wednesday crude oil
\ninventories in the week to Aug. 13 dropped 1.3 million barrels to
\n293.0 million.<\/p>\n
Gasoline stocks declined 2.6 million barrels to 205.7 million.
\nDistillates -- mostly diesel and heating oil -- climbed 2.1
\nmillion barrels to 124.6 million.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/jp13oil-1447899208",
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