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Reuters, citing an anonymous Oil Ministry official, said, “It is impossible to say how long the threat from the uprising will cripple oil sales as the situation is very fluid and fragile. We can’t anticipate anything.”
“What is correct now is that we are loading about 900,000 barrels of Basra Light. How long we can sustain that, only God knows,” added the insider.
In related news, oil authorities in the country’s south have admitted to shutting down oil export flows from a main southern pipeline on the back of sabotage fears by rebel militia allied to anti-US forces.
The Tehran Times, citing an anonymous South Oil Co official, said, “The situation in Basra is bad. Management ordered the pipeline shut late and very few people showed up to work again today.”
“The feeling is it is not wise to challenge Sadr’s followers,” added the source, referring to anti-US cleric Moqtada al-Sadr, whose Mehdi Army militia is fighting U.S-led forces in central and southern Iraq.
The US-Iraq attack on Najaf is an attempt to apprehend Moqtada and the Mehdi Army has vowed to attack oil facilities in response to the offensive on Najaf.