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Oil Price Jumps to 6-Month High After US Announces Decision To Discontinue Waivers From Iran Sanctions

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Oil Price Jumps to 6-Month High After US Announces Decision To Discontinue Waivers From Iran Sanctions

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On April 22nd, the White House announced US President Donald Trump’s efforts to undertake action to cut down Iranian oil exports down to zero.

“Iran’s leaders plunder the nation’s resources to enrich themselves and to spread mayhem across the Middle East and far beyond,” the White House statement claimed.

To that end he announced that Significant Reduction Exceptions (SREs) (waivers from the sanctions on Iran’s oil exports) will not be renewed when they expire on May 2nd.

Currently eight countries are exempt from sanctions for importing Iranian oil: China, Greece, India, Italy, Japan, South Korea, Taiwan and Turkey. Iraq is also exempt from sanctions, but the waiver was renewed for 90 days on March 20th and will continue past May 2nd.

On the day, the price of oil jumped to its highest price since November 1st.

Regardless, the White House statement also claims that the US, Saudi Arabia and the UAE will make up for the lack of approximately 1 million barrels per day.

“The United States, Saudi Arabia, and the United Arab Emirates, three of the world’s great energy producers, are working to ensure global oil markets remain well supplied.

The United States and its partners will take immediate action to ensure that supplies are made available to replace all Iranian oil removed from the market.

Forecasters expect global oil supply will keep pace with demand in 2019.”

As part of the Trump administration’s “maximum pressure” policy on Iran, the Islamic Revolutionary Guard Corps (IRGC) was designated as a terrorist organization.

As a success the White House describes the following: “as a result of the Administration’s actions, Iran’s currency has lost more than two-thirds of its value on the black market.

Foreign direct investment and business activity in Iran have fallen off as the private sector realizes the risk of doing business with Iran.

More than 100 companies decided to cease doing business there.”

Donald Trump also alleged that former US Secretary of State John Kerry had broken the law by speaking to Iranian officials, on top of that he had “given them very bad advice.”

The Logan Act is an obscure law that bans private citizens from negotiating with foreign governments without permission from the U.S.

Violating the Logan Act, which became law in 1799, is a felony. But only two people have been charged with violating it, the last in 1852, and no one has ever been convicted.

In response, Iranian General Alireza Tangsiri, commander of the IRGC’s Navy said that if Iran could not use the Strait of Hormuz to export oil, then it had the right to close it.

“According to international law, the Strait of Hormuz is a marine passageway and if we are barred from using it, we will shut it down.”

“In case of any threat, we will have not even an iota of doubt to protect and defend the Iranian waters,” Tangsiri said.

The Iranian Foreign Ministry issued a statement, condemning the US decision, but saying that it ultimately doesn’t matter.

“Since the sanctions in question are principally illegal, the Islamic Republic of Iran did not and does not attach any value or credibility to the waivers given to the sanctions.

Considering the negative impacts these sanctions have in practice and the possibility of further intensification of these negative impacts following the US refusal to renew the waivers, the Iranian foreign ministry today has been constantly in touch with all relevant institutions inside the country while holding intensive talks with many of its foreign partners including the Europeans, the neighbours, and other countries in the world.

“The result of these contacts and consultations with Iranian and foreign officials has been reported to the highest decision-making authorities, and an appropriate decision on the issue will soon be taken and made public,” Iran’s Foreign Ministry Spokesman Seyyed Abbas Mousavi said.

Iranian Foreign Minister Javad Zarif commented on the US announcement, saying it shows the “panic & desperation of US regime.”

Turkish Foreign Minister Mevlut Cavusoglu commented on the US decision, saying that it would not contribute to regional peace and stability, but will only harm the Iranian people.

The secretary general of the Lebanese Hezbollah Seyed Hassan Nasrallah denounced the US decision, saying that the sanctions against Iran “amount to aggression against the entire world.”

“US efforts to increase economic pressure on Iran, especially its pledge to drive the country’s oil exports to zero, will have negative repercussions and will affect the entire world, including the US itself,” Nasrallah said.

He then called on world nations to stand up against “US arrogance”, pointing out, “The tyrannical US government has no respect whatsoever for international law and regulations.”

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  • Sinbad2

    This is what the US has been trying to get for a while. They kept on knocking one oil producer after another out of the market to push prices up, and they finally got it.
    American oil companies struggle to make a profit under $65.

    • Fleecing Rabbi

      Trump is punishing the American people more than Iranians who are used to hardships. It is really good for Russian economy as oil revenues can help Russian modernize its military and push more lucrative arms deals. The Iranian arms embargo is all set to be lifted in January 2020 and both should be signing multi-billion dollar deals.

    • Jens Holm

      Its like Fleecing says You have to look around the world. Russia is almost totel dependent in oil and gas export being lousy in almost anything else apart from wheet and missiles. So they are happy.

      I am sure the non oil- and gas producing countries in Europe is not happy at all. Denmark is happy, because 50% of our electricity is by wind. We even export some. Thats + + + all over. We could sell and produce more.

      So pls take a world economy map a have a closer look.

  • FlorianGeyer

    So the whole world has to pay more for fuel , just because the US Government is playing the role of ‘King of Kings ‘ or more accurately, ‘Queen of Queens’ , in order to stifle nations they do not like and sell more of their fracked oil that needs a high price to be profitable.

    I hope that this all ends very badly for the US. As for buying US oil, I would rather walk.

    • Derapage

      I think that the main reason is the Iran sanctions could help Saudi Barbaria to win the war in Yemen.

      • FlorianGeyer

        That’s part of it I agree.

      • Superfly

        Russia and all of OPEC will be winners. There is no way all of Iran’s exports can be choked off.

  • peter mcloughlin

    The rise in oil prices could have serious repercussions for the world economy, even if the shortfall is tardily made up by the Saudis. Uncertainty breeds panic. The real danger, what’s being witnessed now only the first step, is the eventual direct confrontation between the US and Russia. Kremlin has too many vital interests at stake in region, as has Washington. History demonstrates: when core interests clash rival powers go to war.
    https://www.ghostsofhistory.wordpress.com/

    • FlorianGeyer

      Sadly, the US mainland now needs to be eviscerated by war, in the same way the US has destroyed all too many free nations.

      It is preferable that a civil war in the US does the job, but in extremis a nuclear war will do, even if I die. I would like to die with the knowledge that the US is in flames though.

      The US requires that all other nations, except Israel, must kneel before her.
      Optimistically, many empires have tried to do this and ALL have failed.

      The US leadership for many decades, has demonstrated their hatred for all other nations, even their vassals. Yet in the Orwellian world we live in, any dissent to the US gangster state is declared to be Hate Speech by them.

      What the US does is hateful, and any pushback by those in the sights of the US (The rest of the world, excluding Israel) is self defence.

      • Pave Way IV

        “Sadly, the US mainland now needs to be eviscerated by war, in the same way the US has destroyed all too many free nations.”

        No time for war. We’re busy trying to strangle ourselves to death while alienating every other country on earth except for (((you know who))). And our banks are about to fail (again) – but that part is suppose to be a secret. Will you settle for another severe depression and cannibalism? It’s all we got left.

        • FlorianGeyer

          Cannibalism sounds ok. Especially amongst the insanely angry in the US who have promoted so much hatred toward other nations with a false narrative.

          ‘Much Ado About Nothing. comes to mind :)

      • S Melanson

        I hope that the deep internal divisions within US power structures keep limiting US actions to largely talk and more talk as the world transitions to multi-polar. The US has been unable to stop this important transition to a more stable and just world and I do not see that changing.

        Risk of global war remains high but we have managed not to blow ourselves up despite the ability to do so for three generations. The darkest moments are just before the dawns early light and we can build a better world without resorting to nuclear war – as happened in the 1991 movie “The Dawn’s Early Light” (a very good movie to watch). Continue what we are doing and be patient, we are winning.

        Lastly, although a multipolar world creates a better environment to seek and attain a more just society, justice will not happen on its own accord. Sometimes sheep need to be wolves to demand what is fair and proper – doing so is what elites respond to and, it is also what they respect.

      • occupybacon

        Why don’t you go fight somewhere instead of moaning here like a little bitch?

        • FlorianGeyer

          Why don’t you go and play with a suicide belt.
          Preferably in private.

          • occupybacon

            Because unlike you, I don’t hate my life and I don’t think I’m that important to say: “I would like to die with the knowledge that the US is in flames though”

          • FlorianGeyer

            We are all equal in death, and when that comes is of little consequence really, when when considers the average lifespan of about 75 years, in relation to the many thousands of years of human existence.

            I choose not to be subjugated by religion or any other form of cult, including Political Correctness , that is just another form of oppression in order to silence any thoughts that rulers do not like, and feel threatened by.

            You say that you do not Hate Life. That’s all very well if circumstances do not change, as they always do. When they change for you, and are opposite to what you are now content with, will you still be happy?

            Would you be happy to live in a country that has been ravaged by American bombs? Would you be happy to be a Palestinian whose home was stolen by the Israeli’s in 1947 and are now imprisoned in Gaza, that is the largest concentration camp the world has seen. Would you be happy to be a debt slave , as most people in the so called Free World are today? Even people who are personally free of debt, as I have always been fortunate to be, are forced to pay taxes and pay the interest on the National Debt. A National Debt that has largely been accrued by involvement in aggressive wars of plunder that only enrich the crooks and charlatans in power.

          • occupybacon

            Only people without debt, like you, have the time to think what if it will be worse. People that borrow money from the bank, like me, think how to make my life better.

          • FlorianGeyer

            More fool you then to pay interest on fiat money that is itself created out of nothing , and backed largely by government bond debt, that in extremis will be paid/sequestered from you when the bond holders demand their money and interest.

          • occupybacon

            By law, in case anything bad happen, they can’t take my home and my car. The debt is used as a trust mechanism in economy, if a company has no debt to a bank that means no bank trusted them to give them money.

          • FlorianGeyer

            I have to trust in banks to deposit my money. It is unwise to keep a lot of cash at home. When I had a company I kept about one years turnover in cash in the company account so that I could weather any storms.

            I would never trust any bank and borrow ‘created ‘ money, because they have the right to demand it all back, + interest anf fees instantly, and if that is not possible, they can take ones house or car in the UK, IF it is not on finance or mortgaged.

            As the saying goes, ‘ Banks charge interest for an umbrella when they lend money in fine weather , and demand the umbrella back when it rains’.

            Trusting a bank is as dangerous as trusting a poisonous snake.

          • Gregory Casey

            Well said!! I wholeheartedly agree.

    • Concrete Mike

      Well i see one positive in this, if the usa is depending on the saudis to stay aflot, they are as good as sunk, saudis are useless and vulnerable.

      The houthis will unwittingly save us all.

  • Promitheas Apollonious

    as long the nations of this world dont tell usa and their masters to go fuck themselves this is going to be happening and destroy all the economies and in the process their populations.

    • JHK

      So we should go tell nato to go f7ck itself.

      • Jens Holm

        We already do, and that includes women all given carrots. We might even settle in Syria with the indians there. So far 10 millions are not in their homes and we work hard and can effort to rebuild as we wish.

        There will be windmills and solarpanels on each sky scaper, so You can have Your dirty sulphur oil Yourself. We also will hire children as minesweepers.

        There will be peace. Assads will get all the muslim westbankers. Those aready are spendables and Assad can spend them too for free. To me they still are Syrians.

      • Promitheas Apollonious

        what is stopping you to do so? You seem to have a big idea of who you are and what you are. why dont you go play with your dolls and stop trying to act as a grown up?

        • JHK

          No Im just telling you we will f7ck americunts and eurocucks up.

          • Promitheas Apollonious

            we is who exactly kid having an attack of multiple personalities or you think you are more than the shit you are and you hallucinating?

          • JHK

            We as in Muslims as in Seyed Qutbists.

          • Promitheas Apollonious

            and I was thinking you overdose on your ego and was thinking your self as a million you. well good luck i be on the other side waiting for you and arrange a meeting between you and reality.

          • JHK

            We have laws backed by Jesus(as) and our Creator(swt), Who controls reality, which is the difference between Heaven and hell.

            Reality is that God(swt) can make cucks out of jew.

          • Promitheas Apollonious

            jesus ……. who is he? In my searching I have yet to see beside the jews who wrote the manuscript, any other historian ever mentioning him or any one of his alleged existence, during his alleged life time. Kind of strange dont you think, of course if you are able of such a task as thinking.

          • JHK

            The trademark of the kike is that the kike doesnt believe in God(swt) or Jesus(as).

          • Promitheas Apollonious

            no the zionist religion they sold every one of you does not interest me and is nothing to believe or not in illusions of a writer. so to you is god to me is something that exist only in your imaginations.

          • JHK

            So in your imagination zionists wrote AlQuran. So back your claim, ahaha.

          • JHK

            And just to caveat your bitch ass name, elite Philosophers agree at least God(swt) cant be disproved, which is evidence itself in His(swt) favor.

          • Promitheas Apollonious

            I am not talking of god I am talking of the one you believe in and the christians.

    • Jens Holm

      I as western wont. That will make a loack in communications. After all we mainly prefare to remain having stability in the Western economies – incl well affiliated – China.

      But we do ask for reforms in and by USA as well and important ones. I never can buy or eat Your intensions, which also are very unrealistic. We will help each other as well as we can as we do today.

      I see none to copy as alternatives.

  • Gregory Casey

    I presume the issue of the Chinese purchasing Iranian Oil is on the Agenda in the ongoing Trade Talks between China and US. That being the case, I wonder why China would bother agreeing with the Edicts being handed down by Pompous Pimpeo & the half-wit, half-caste Israeli Citizen Psycho- Bolton when all they need do is agree a long-term deal with Iran for cheaper Oil to China.

    • Promitheas Apollonious

      I dont think china will agree to anything with the americans, especially with what have to do with iranians or venezuelans. They are invested very heavily in both countries as well as in africa.

      • Gregory Casey

        I agree with you. Unfortunately both Trump, halfPence, Pimpeo and spychoBolton (the Israeli Citizen heading the US Security State) appear completely ignorant of and/or blind/deaf/dumb to the Chinese investment in and alliances with both Iran and Venezuela as they try to cobble together the Trade Deal of the Millenia with China. If they think for one minute that China will place all of their Eggs in the US Basket to the detriment of either/both Iran and Venezuela, they really have another think coming. Then again, that is hardly surprising given the truly arrogant aspect of US “diplomacy” throughout the past 70-75 years.

    • JHK

      I wreckon you live in nato, so you should go f7ck yourself aight.

      • Jens Holm

        If You did the same, there would be peace in the world. You might add with some homegrown opium and hashes as well.

      • Gregory Casey

        Wrong. I don’t and unlike you, I despise NATO.

        • JHK

          You have native english a western name and dont live in a nato country thats news to me. Thats rarer than 0.1% statistically, so I find that hard to believe, and statistically safer to presume otherwise.

          I hope you can logically understand.

          • Gregory Casey

            A little humility on your side might help. No I am not English. Never was and never will be. Casey is not an English name. It’s an Irish name and Gregory, as you well know is a Roman name. Take from that what you wish but the State in which I live is neither aligned with nor a part of NATO and its barbarities.

          • JHK

            I recently saw Irish gdp per capita at like 70k the highest in eurocuck.

            So that speaks for itself.

            And Romanian is european or simply just roman or latin not enough to distinguish from nato romans jews etc.

          • Gregory Casey

            Definitely a stronger blend of Hashish at work here. Meanwhile, it will help you if you stop conflating Romania and Rome, Romanian language and Latin and Romanians and Romans. Yes Romanian is a Latin language and no, Romanians are not a Slavic People although situate in the midst of Slavs but rather, they are southern European (Italian) intermingled with Slavic people. What any of that has to do with my Nationality, my National identity, my name, Ireland’s GDP or Ireland’s per capita income really is beyond me but perhaps it has to do with the fact that we refuse to spend enormous sums of money on our Military or on Defense while refusing to support or become a member of NATO.
            Next time you go on a rant, do some homework before you begin.

          • JHK

            Romania was part of nato during 911.

    • Jens Holm

      Thats why Trump gave them and India dispensation. Trump dont know, what he is doing.

      • JHK

        He knows hes going to be nailed to the Orthodox East Cross.

        • Jens Holm

          I dont think so. Many others might get him first :)

        • Gregory Casey

          Hopefully.

          • JHK

            And if you want a challenge on who is more anti nato, Im up for that.

  • Derapage

    In my opinion US decision was made in Rhyad where they hope will have consequences on the war in Yemen: currently the US coalition led by Saudi Arabia is not succeeding on the ground because Iran is founding Houthis movement

    • Promitheas Apollonious

      you are wrong the us decision is based on raising the oil prices so their oil become competitive price wise. It is a boomerang that will turn against them but then moronic single cells as they are, can not understand that.

    • Fleecing Rabbi

      The Yemenis don’t need help from anyone, they are some of the toughest fighters on earth. Iran is too busy defeating US terrorism.

      • Gregory Casey

        Well said. Not just tough but smart also as can be seen from their ability to create their own Missiles and Missile Technology.

    • Gregory Casey

      Explain to me please how Iran is either funding the Houthi Ansrullah Movement or supplying them with Arms? Yemen has been surrounded by a Ring of US+UK+Israeli+French+Saudi+Emirates Steel for 3+ years which is why even UN Aid shipments have enormous difficulty in getting past the Blockade. People need to realize that the people in the Ansrullah Movement are no Primitive People and are more than capable of making use of the sophisticated weaponry they captured from and/or was left abandoned by the Gov’t they toppled. Moreover, the Houthi have been making copies of much of the Missile technology and, in general, improving it causing the Saudis to spend a few Billion $$$$ more each year.

  • TiredOfBsToo

    ““Iran’s leaders plunder ..”

    Correcting the statement to reflect reality….
    Exchange the word “Iran” with ‘US’ along with ‘a’ to replace ‘the’ and you have a statement which is based by facts and historical evidence.

  • S Melanson

    So ninety day extension for Iraq – in other words, we have no hope in hell of enforcing so give impression we are allowing for now to show Iraqis our magnanimity. Right.

    Now we get to see if the US backs up its words or if instead, it becomes a Venezuela like quagmire.

    As for higher oil prices, the US has pushed prices down with help of KSA to screw Iran and Russia as they are highly dependent on oil export revenue. Trump also promotes low oil prices as good for Americans – sensible being in the land of automobiles – low gas prices play well to voters and an election looms next year. That is why Trump stresses the US, KSA and UAE will make up for oil lost to the market – will KSA continue to shoot itself in the foot with low prices? If so, eventually the KSA will shoot themselves in the face…

    • goingbrokes

      Good stuff. A complete side, but it is interesting to note thatOPEC used to control the world oil price. So there too the fabled “free market” was not really free at all.

      • Gregory Casey

        OPEC was a price- & supply-fixing Cartel. Nowadays, US plus Saudi Barbaria & their Emirati cousin try to fix the price low so they can topple Iran, Venezuela & Russia but, in doing so, they are crashing the Saudi non-oil economy with enormous levels of Debt and wholly unsustainable levels of purchase of US Arms, Missiles and war-planes. This latter is why the Saudis are refusing to play at price-fixing low for much longer.

  • Real Anti-Racist Action

    Bigots of the world are destroying everything with oil. The age of Electric is here. Electric cars and electric planes and electric ships are relevant, while gas has become in 90% of cases irrelevant.
    Everyone should ditch oil within 5 years and stop leaving in the past.
    Even electric light weapons will be replacing powdered combustion noisy weapons.
    https://electrek.co/

  • RichardD
  • Joe Kerr

    China will continue buying Iranian crude, and Chinese companies will continue to invest in Iran. Sanction China? Yeah sure…

  • goingbrokes

    This is a big effort to bolster the petrodollar, that is, Gulf monarchies slice of the pie is increased (which gives them more money to buy American made weapons and (yawn) so on and so on…)

  • Superfly

    The idiot Trump is showboating for his Zionist handlers and hurting Americans, gas is already hitting 5 bucks in California and this summer will be hell.

  • JHK

    Maximum Pressure on nato.

    nato needs to be crushed an powned.