Trump seen facing rebellion from biggest Iran oil customers

Trump seen facing rebellion from biggest Iran oil customers

Oil prices are at risk for further gains due to the United States' decision to withdraw from the 2015 Iran nuclear agreement, coupled with rising tensions in other oil-producing countries such as Saudi Arabia and Venezuela, Goldman Sachs said in a note Wednesday.

The move was hailed by Saudi Arabia, the United Arab Emirates, Bahrain and Yemen.

This source had also said the impact of USA sanctions on Iranian supplies needed to be assessed first and Saudi Arabia did not expect any physical impact on the market until the third or fourth quarters.

The restoration of sanctions on Iran-the world's fifth-largest oil exporter-may have implications for the market balance, the International Energy Agency (IEA) said in a statement on Wednesday, adding that it is closely following the situation.

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At an Arab League summit last month hosted by Saudi Arabia, the country's King Salman said the regional body agreed to "renew our strong condemnation of Iran's terrorist acts in the Arab region and reject its blatant interference in the affairs of Arab countries".

Saudi Arabia announced on May 9 that it will be monitoring the effect of the USA withdrawal from the JCPOA (also known as the Iran deal) on the crude oil market, as Iran's market share could now decrease.

Companies and countries with commercial deals with Iran would have either 90 or 180 days to wind down those activities, depending on the type of products being sanctioned.

"We will find the right way and at the right time to respond to this ..." President Donald Trump has sought closer relations with Israel and Saudi Arabia, sometimes alienating European allies.

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The government approved a national policy for its atomic energy programme on Tuesday, including limiting all nuclear activities to peaceful purposes, within the limits defined by global treaties.

Under the terms of the Joint Comprehensive Plan of Action (JCPOA) signed on July 14, 2015, Iran has agreed to reduce by approximately two-thirds its installed centrifuges.

The Bahrain News Agency, BNA, quoted a statement of the Ministry of Foreign Affairs as saying, "This decision reflects the commitment of the United States to confront Iranian policies and Iran's continuous attempts to spread terrorism in the region in full violation of worldwide norms and laws".

Both the Houthi movement and Iran deny any military con nection-but are politically aligned in regional affairs. However, it traditionally neither confirms nor denies their existence.

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