More news 2 make u shiver.....................
Oil prices could double amid Arab unrest
Posted: 05 March 2011 1313 hrs
LONDON: The price of a barrel of
crude could double if the unrest in the Arab world deteriorates,
oil trader turned British international development minister Alan
Duncan warned Saturday.
Duncan, who has 30 years' business experience in the Gulf, told The
Times newspaper that the price of a barrel of crude could top $200
(140 euros), well above the record high of $147 reached in July
2008.
If extremists used the instability in the Arab world to bomb oil
tankers, pipelines or Saudi reserves, prices could even hit $250 a
barrel, Duncan said.
The Times said analysts fear such highs could trigger another
recession in Britain.
"I've been saying in government for two months... $200 is on the
cards if this goes wrong, if anyone is reckless and foments unrest.
All I'm predicting is danger," said Duncan.
"It could be very serious. If crude oil doubles, you're going to
have a very serious spike (in petrol prices). Try living without it
for a week."
The British government is under pressure over the price at the
pumps, with 63 percent of the cost going to the exchequer.
If the worst happened, current prices of £1.30 ($2.10, 1.50 euros)
a litre at the pump "could look like a luxury", Duncan said,
warning of £4 a litre.
"A Twittered-up generation now has massive power. All Arab
countries are moving on. But they are all different," he
said.
"The powers are shifting but you can't do it overnight. We are
asking them to do at the flick of a switch what we took centuries
to do.
"The majority of these rulers are not dictators. These are
countries with their own history and cultures. Who are we to
lecture? We must treat these countries with respect."
The people who want all unelected leaders to go should remember
Iran, Duncan said.
"It didn't work with the shah, we must pray it works in Tunisia,
Egypt and Libya.
"At the moment this is secular, economic and demographic but if it
goes wrong you will see Islamic fundamentalism becoming the only
vehicle for people's grievances," he warned.
-AFP/wk <!-- Zone Tag : Channel News asia In Text
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