{"id":7441,"date":"2012-01-27T21:14:01","date_gmt":"2012-01-27T19:14:01","guid":{"rendered":"http:\/\/www.myza.co.za\/01\/oil-industry-sees-china-winning-west-losing-from-iran-sanctions\/"},"modified":"2012-01-27T21:14:01","modified_gmt":"2012-01-27T19:14:01","slug":"oil-industry-sees-china-winning-west-losing-from-iran-sanctions","status":"publish","type":"post","link":"https:\/\/www.myza.co.za\/press\/oil-industry-sees-china-winning-west-losing-from-iran-sanctions\/","title":{"rendered":"Oil industry sees China winning, West losing from Iran sanctions"},"content":{"rendered":"

\t\t<\/span><\/p>\n

By Dmitry Zhdannikov<\/span><\/p>\n

<\/span><\/p>\n

DAVOS, Switzerland<\/span> Jan 27 (Reuters) – As the European
\nUnion prepares to ban Iranian oil and the United States turns
\nthe screw on payments, oil executives and policymakers say China
\nand Russia stand to gain the most and Western oil firms and
\nconsumers may emerge the biggest losers.<\/p>\n

<\/span><\/p>\n

Iran will continue to sell much the same volume of oil –
\n2.6 million barrels per day or around 3 percent of world supply
\n– but almost all of it will flow to China, they reason. And
\nbeing pretty much Iran’s only remaining customer, Beijing will
\nbe able to negotiate a much reduced price.<\/p>\n

<\/span><\/p>\n

The EU will ban Iranian oil from July. The United States
\nplans sanctions on Iran’s central bank and possibly its shipping
\nfirm. European headquartered oil firms such as France’s Total
\n and Royal Dutch Shell have already abandoned
\nIranian oil purchases or are in the process of doing so.<\/p>\n

<\/span><\/p>\n

Japan and South Korea have signalled they may reduce
\npurchases of Iranian oil to comply with U.S. sanctions designed
\nto put pressure on Tehran over its nuclear programme.<\/p>\n

<\/span><\/p>\n

That leaves a growing number of buyers competing for
\nalternative supplies. Inevitably attention has turned to Saudi
\nArabia, the world’s biggest exporter and the only country that
\ncan quickly increase oil output and help the West avoid a price
\nspike that would deal a severe economic blow.<\/p>\n

<\/span><\/p>\n

The IMF said this week that crude oil prices could rise 20
\nto 30 percent if Iran were to retaliate by halting its oil
\nexports altogether. Oil industry executives meeting in Davos
\nsaid energy markets can afford to lose half of Iran’s 2.6
\nmillion barrels per day. That would be roughly equivalent to
\nsupplies lost during Libya’s civil war in 2011. They are
\nconfident Saudi Arabia will fill the gap.<\/p>\n

<\/span><\/p>\n

“What we say is that oil is fungible. Iranian oil will still
\nfind its way into the market, to Asian markets, China and
\npossibly at a lower price,” a top Saudi source told Reuters,
\nspeaking on condition of anonymity because of the sensitivity of
\nthe matter.<\/p>\n

<\/span><\/p>\n

“But if let’s say 50 percent of Iranian oil is lost, we have
\nspare capacity, we have the capacity to replace it as Libya has
\nshown,” he added.
\n\u00a0 Continued…<\/strong><\/span><\/p>\n

<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

By Dmitry Zhdannikov DAVOS, Switzerland Jan 27 (Reuters) – As the European Union prepares to ban Iranian oil and the United States turns the screw on payments, oil executives and policymakers say China and Russia stand to gain the most and Western oil firms and consumers may emerge the biggest losers. Iran will continue to […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","ngg_post_thumbnail":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[1],"tags":[830,2370,183],"class_list":{"0":"post-7441","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-south-africa","7":"tag-news","8":"tag-reuters","9":"tag-south-africa-2","10":"entry"},"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/7441","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/comments?post=7441"}],"version-history":[{"count":0,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/7441\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/media?parent=7441"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/categories?post=7441"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/tags?post=7441"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}