Oil price may reach $ 200 ‘
Category: World Oil & Gas news | Posted on: 8-03-2011
Crude oil may reach $ 250 a barrel as terrorists to focus on oil tankers and oil reserves in Libya and the rest of the Middle East. That sets the British Minister for Development internaional Alan Duncan.
Duncan has thirty years experience as an oil trader in the Middle East. “A price of $ 200 is on the horizon for reckless behavior, or if anyone inciting unrest,” the minister said in an interview with British newspaper The Times.
Duncan is the first British minister to openly talk about these oil prices. High oil prices have a direct impact on gasoline prices. Analysts fear a double-diprecessie as the price of a barrel of oil does indeed go breaking all records.
Double-dip
“The extra costs to households, ensuring that there will be cutbacks elsewhere. The growth will weaken. At a price of $ 200 per barrel is very difficult to avoid a double-diprecessie” said an economist at ING.
The price of a barrel of oil closed Friday at its highest level in 2.5 years. Since the unrest began in Libya on February 15, the oil price by more than 23 percent gestegen.Een barrel of oil now costs $ 115.97. A barrel of oil costs U.S. $ 104.42. The record is dated July 2008, when oil cost U.S. $ 147 a barrel.
Libya
Muammar Gaddafi’s regime still benefit from oil production in Libya, although it has decreased substantially by the crisis in the North African country. In the past two weeks, the regime has earned 550 million euros from the export of crude oil, announced the British business newspaper Financial Times on Saturday according to sources in the oil industry.
Western companies do not known or no business with Libya, since, inter alia through the United Nations imposed sanctions against the regime of Gaddafi. The companies fear damage to reputation. Chinese and Indian oil companies have less difficulty with the situation in Libya. They buy on a large scale Libyan oil.
Libya pumped for the crisis, 1.6 million barrels of oil a day. Experts say that the production has now dropped to about 200,000 barrels a day.
