Saudi Arabia denies buying 25 oil tankers, rejects link to Iraqi shipping costs
Saudi Arabia has denied claims that it purchased 25 oil tankers and rejected suggestions that the alleged purchases contributed to higher costs for transporting Iraqi oil. The Ministry of Energy issued the clarification in response to remarks by Iraqi Oil Minister Bassem Mohammed Khudair Al-Abadi and Ali Nizar Al-Shatari, chairman and director general of Iraq’s ...
Saudi Arabia has firmly denied claims that it acquired 25 oil tankers, dismissing suggestions that these purchases were responsible for rising costs associated with transporting Iraqi oil. The Ministry of Energy issued a statement on Tuesday, clarifying that the Kingdom had not made the tanker purchases reported during a session in the Iraqi parliament.
The ministry maintained that the information was inaccurate, emphasizing that such a decision was within Saudi Arabia's sovereign right to make commercial and investment choices based on its own needs and interests.
The ministry attributed the significant rise in oil transportation costs to factors distinct from the ones cited by Iraqi officials. These factors included regional military escalations, Iranian attacks on vessels, and disruptions in shipping through the Strait of Hormuz. These events have escalated shipping risks and insurance premiums, while simultaneously decreasing the number of tankers willing to operate in the region. Consequently, regional freight costs have soared to unprecedented levels, the ministry stated.
The ministry rejected the notion that Saudi Arabia's actions were a direct cause of the increase in Iraqi oil transportation expenses. It argued that attributing the surge to the Kingdom did not accurately reflect the underlying causes of the price rise.
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