American energy sources have reported that the country’s oil and gasoline reserves have recently experienced significant growth, according to Al-Hayat daily. Nevertheless, the Iraqi decision to freeze its oil supply might threaten the chances of further expansion of the American reserves, unless alternative oil supply sources are found.
The United States still considers Iraqi oil an important asset, and is concerned that political unrest will have detrimental affects on the world market. Consequently, it has considered re-evaluating its sanctions on Iraq so as to offset the immediate affect of shifts in Iraq’s oil policies.
Among the reconsiderations is the relaxing of restrictions on the Iraqi oil industry so as to allow more barrels of crude on to the world market.
The recent Iraqi decision is also likely to result in a five to ten dollar hike in the price of oil per barrel worldwide. –(MENA Report)
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