Tuesday, 20 March 2012

Saudi Arabia Sends Tankers to US with Pledge to Bring Down Oil Price

THE DAILY TELEGRAPH: Saudi Arabia has pledged to take action to lower the high price of oil, which has risen to around $125 a barrel, with laden supertankers set to arrive in the US in the coming weeks.

Saudi Arabia said yesterday it will work "individually" and with the other petrol-rich Gulf states to return prices to "fair" levels.

The country indicated earlier this year that $100 a barrel was the ideal oil price.
The price of oil slid this morning in London as a result, with Brent crude trading down as much as 1pc at $124.40.

Oil prices have climbed to $127 a barrel this year, just $20 short of their all-time high, as tighter Western sanctions on Iran threaten to choke off the country's exports.

Prices also took a hit this morning after China increased retail fuel prices for the second time in two months, increasing concern that demand in the country - the world's second-largest oil consumer after the US - will decline. » | Telegraph staff and agencies | Tuesday, March 20, 2012