Funds, refiners ponder oil Armageddon: war on Iran

[robertpaulsen]

Source: Reuters

REUTERS - Oil consuming nations, hedge funds and big oil refineries are quietly preparing for a Doomsday scenario: An attack on Iran that would halt oil supplies from OPEC's second-largest producer.

Most political analysts and oil traders say the probability of military action is low, but they caution the risks of such an event have risen as the West and Israel grow increasingly alarmed by signs that Tehran is building nuclear weapons.

That has Chinese refiners drawing up new contingency plans, hedge funds taking out options on $170 crude, and energy experts scrambling to determine how a disruption in Iran's oil supply -- however remote the possibility -- would impact world markets.

With production of about 3.5 million barrels per day, Iran supplies 2.5 percent of the world's oil.



Read more: http://in.reuters.com/article/2011/11/30/iran-oil-idINDEE7AT08720111130

[dipsydoodle]

1. Sounds like an example

of how to fuck yourself in one easy lesson.

[dballance]

2. We're being lied again into another war.

[Possumpoint]

3. Question Isn't On How Iran's Oil Supply Would Be Affected

It is on how Iran could affect the shipment of oil from Saudi Arabia and others through the gulf. Costs of insurance for oil shipments could be beyond excessive.

[benld74]

4. Uh people, Iran is China's 2nd largest trade parter, its LARGEST OIL trade partner

Russia is its number 2.
SO what side of the fence do WE come in on this?

[russspeakeasy]

5. We will firmly straddle the fence.