Qatar says Egypt concerns behind oil price rise above $100/b
Doha (Platts)--8Feb2011/744 am EST/1244 GMT
Qatar's newly appointed oil minister Mohammed al-Sada said Tuesday
that the rise in oil prices to above $100/barrel for the first time
since the global financial crisis of late 2008 was a reaction by oil
markets to geopolitical concerns over events in Egypt.
"Although Egypt is a small oil producer, it plays a big role in the
economy of the Middle East," Sada said in remarks read on his behalf at
a conference.
He said the market's reaction to the anti-government protests in Egypt
was an indication of the inter-relation between the various factors that
drive markets.
"The speed of the events unrolling in the Middle East have an impact on
other parts of the world and these developments in North Africa have
therefore had an impact on oil prices," Sada said in his first comments
about oil market conditions since assuming office in January.
The Qatari minister said that geopolitical tensions tend to reflect on
the economic front and thereby serve as a driver of oil prices.
Oil prices last week rose to their highest level since October 2008 with
the ICE Brent crude benchmark trading above $103/b on fears that the
unrest in Egypt could spread to other parts of the oil-rich Middle East
and over concerns that oil and LNG tanker traffic through the Suez Canal
might be affected.
The Suez Canal remains open and has suffered no disruptions, officials
said Tuesday.
--Staff, newsdesk@platts.com
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