Oil Price Ups Due to Iran, Regional Tension: Kuwaiti Minister

A drop in Iranian production coupled with regional tensions were pushing oil prices higher, Kuwait Oil Minister Hani Hussein said in remarks published on Sunday, 5 August. "Iranian production has dropped which has contributed to raising prices," Hussein was quoted as saying. "Fears from regional tensions" and economic issues have also pushed prices higher, the Kuwaiti Minister added.

Hussein said that despite geopolitical tensions, "oil supplies are going well and there is enough production to meet market demand which is a positive signal to the market."

Iranian oil production has dropped sharply following European and US sanctions on the Islamic republic over its nuclear program, according to OPEC. US President Barack Obama recently imposed new economic sanctions on Iran's oil export sector and on a pair of Chinese and Iraqi banks accused of doing business with Tehran. – Zawya