Iran General NewsINTERVIEW-UPDATE 1-Italy govt to help oil firms if Iran...

INTERVIEW-UPDATE 1-Italy govt to help oil firms if Iran banned -lobby

-

Reuters: Italy’s government will give diplomatic help to the country’s oil companies to find alternative sources of crude if sanctions are imposed on imports from Iran, a senior industry official said on Monday, adding Saudi Arabia could make up the shortfall.

By Svetlana Kovalyova

MILAN, Nov 28 (Reuters) – Italy’s government will give diplomatic help to the country’s oil companies to find alternative sources of crude if sanctions are imposed on imports from Iran, a senior industry official said on Monday, adding Saudi Arabia could make up the shortfall.

“They have taken our information about the negative impact of the possible suspension of supplies from Iran to see what they can do on the diplomatic level to help find sources to replace imports from Iran,” Pietro de Simone, director of oil industry lobby Unione Petrolifera (UP), told Reuters after meeting government officials.

European Union foreign ministers are due to meet on Thursday to approve new sanctions against Tehran that could cut financial links and ban oil imports over suspicions that it is trying to develop nuclear weapons.

With the new sancations appearing inevitable, the lobby has asked the government to ensure the measures against Tehran would be gradual so that oil companies had more time to diversify supplies, de Simone said in a telephone interview.

There was no immediate comment from Italy’s foreign ministry which chaired the meeting.

Italy, which relies on Iran for about 13 percent of its total crude imports, would be able to replace an eventual shortfall of Iranian supplies with imports from Saudi Arabia, de Simone said.

“It would not be easy to replace Iran (with heavy oil imports) … Saudi Arabia is the only country which could replace Iran …. It is the only country which could immediately increase production and exports of such kind of crude,” de Simone said .

Saudi Arabia is Italy’s No.3 crude oil supplier and accounts for about 14 percent of total oil imports to Italy, according to UP.

Italy’s major oil refiners, including Eni’s refining division and independent refiners such as ERG, Saras and unlisted API import heavy oil from Iran which is used mostly to make bitumen, de Simone said.

Russia, Italy’s No.2 oil supplier, could help fill an eventual gap in imports to be left by Iran, but it would take Moscow longer to raise crude exports than for Saudi Arabia, he said.

International oil prices have already risen on expectations of the sancations on Iran and would rise further when the sanctions are approved, he said.

UP represents major national and foreign refiners and oil product distributors working in Italy.

(Additional reporting by Roberto Landucci; Editing by William Hardy)

Latest news

Iran Regime’s Ministry of Culture’s Decision To Eliminate Children’s Intellectual Centers

With the so-called ‘Cultural Revolution’ which took place between 1980 and 1983, the Iranian regime tried to purge the...

Water Shortage Crisis and the Destruction of Iran’s Water Resources

Iran is currently suffering from a number of dangerous natural disasters. One of the most worrying is the drying...

Economic Freedom Under the Rule of the Mullahs in Iran

The Fraser institute published its annual report of the index of economic freedom on September 8, which measured the...

Iran’s Regime Continues Its Internet Restriction Project

This is part of the outlook of a document by the Iranian regime’s Supreme Council of Cyberspace, which has...

Iran’s Human Development Index Dropped Sharply

One of the most common questions asked in primary schools by teachers all over the world is, “wealth or...

Narcotics Iran Regime’s Income Source for Terrorism

Besides Iran’s malign activities, such as its regional interference, and missile and nuclear projects, drug trafficking plays a major...

Must read

Iran’s Cabinet approves next year’s budget bill

Xinhua: Iran's cabinet members on Wednesday approved the budget...

U.S. Leaders Support Freedom for Iran, in Wake of Eu’s Muted Response

Iran Focus London, 23 Jan - The EU’s High Representative...

You might also likeRELATED
Recommended to you