Iran to take control of world's oil trade in 2005

Asus

Bench Warmer
Jul 24, 2004
802
0
35
Montreal Canada
#1
*** In 2005 Iran will launch a new oil exchange that is expected to put an end to Western domination of the international oil trade. The US and UK, currently home to the world's largest oil markets, are unlikely to allow Iran to undermine their control of the oil trade without putting up a fight. ***

Iran is to launch an oil trading market for Middle East and Opec producers that could threaten the supremacy of London's International Petroleum Exchange.

A contract to design and establish a new platform for crude, natural gas and petrochemical trades is expected to be signed with an international consortium within days.

Top oil producing countries are determined to seize more control of trading after being advised that existing markets such as the IPE and Nymex in New York are not working in their favour.

Three years ago a former compliance director accused the IPE of manipulating prices, although these allegations were dismissed after an investigation.

The Tehran oil bourse is scheduled to open in 2005, according to its architect, Mohammad Javad Asemipour, who is a personal adviser to the Iranian energy minister.

"We are in the final stage of choosing a concession for what is going to be a very big development for us and the region," he said.

The expected winner of the contract is a consortium of Iranian and international companies known as Wimpole, which is understood to include PA Consulting and a former director of Nymex.

Mr Asemipour has been in London in the last few weeks visiting commodity traders to encourage them to participate in his new venture.

He played down the dangers that the new exchange could eventually pose for the IPE or Nymex, saying he hoped they might be able to cooperate in some way.

Some industry experts have warned the Iranians and other Opec producers that western exchanges are controlled by big financial and oil corporations, which have a vested interest in market volatility.

The IPE, bought in 2001 by a consortium that includes BP, Goldman Sachs and Morgan Stanley, was unwilling to discuss the Iranian move yesterday. "We would not have any comment to make on it at this stage," said an IPE spokeswoman.

Many of the contracts for crude oil being exported from producers such as Iran and Saudi Arabia are linked to prices for the UK North Sea Brent blend.

The Middle East producers would like to establish a rival Persian Gulf blend contract alongside hedging mechanisms that could operate around the new bourse.

The regional initiative is significant but not entirely new. The Dubai Mercantile Exchange recently tried to develop an oil trading market with the help of Nymex but it collapsed through lack of interest.

The Tehran bourse is considered to be more likely to succeed because Iran exports 2.7m barrels a day and produces 13m tonnes of petrochemicals every year. The country has the second biggest oil reserves in the world behind Saudi Arabia.

But Adam Sieminski, oil analyst with Deutsche Bank in London, questioned whether it would succeed. "The IPE and Nymex work because there are many sellers and many buyers. They are regulated markets based on well-established systems for trading and I think the Iranians will struggle to duplicate that."

Mr Asemipour said the new project is in tune with both Islamic and local constitutional law and has been given the go-ahead by government and parliament as part of the country's five-year plan.

· The world is not short of oil and reserves should last 40 years at today's rates of consumption, according to BP chief executive John Browne.

There was "considerable scope" for proven reserves and production levels to keep on rising in Russia and elsewhere, he said in BP's statistical review of world energy.

Production in some areas such as the North Sea might have peaked but "this is no reason for current high prices," said BP chief economist Peter Davies. Oil prices during 2003 were the highest for 20 years despite world oil production growing by 3.8%, higher than the 2.1% increase in demand, BP noted.

SOURCE: The Guardian (UK), "Iran takes on west's control of oil trading", 16 June 2004

[ http://www.guardian.co.uk/business/story/0,3604,1239644,00.html ]
 
Oct 1, 2004
8,122
205
#4
keyvan_pars said:
GOH KHORDAN.

first they should deal with 1 million prostitutes and 20 million drug addicts.
Don't you think your numbers are a little too high?
Not saying those things arent in Iran though.
 

Bauvafa

Bench Warmer
Oct 26, 2004
1,987
0
#5
Niloufar said:
We wish..
There is no way France,U.K and USA let Iran do that.

thanx for news!
nilou jan, France and other EU countries most definitely favor that. The impact of such exchange is so huge that we will see a shift in world reserves from dollar to Euro, and that's good news for Euro countries. Imagine the rest of the world craving for our Rial, willing to buy our paper money in exchange for their goods & services.
 

Sultan

Bench Warmer
Apr 7, 2004
586
0
#6
keyvan_pars said:
GOH KHORDAN.

first they should deal with 1 million prostitutes and 20 million drug addicts.
Why don't you stick to the article and save your other stuff for the posts that are relevant to it.

Whether this attempt to create an oil market succeeds or fails, the lessons learnt will be very valuable.

I hope it does succeed but I like the market philosophy that is taking root in Iran. The Tehran Stock exchange is progressing and this would be a step in the right direction.

Good luck to them.
 

Asus

Bench Warmer
Jul 24, 2004
802
0
35
Montreal Canada
#7
This is very interesting and an important step. Not only does it help stop western bankers from sucking the resources from poor countries, but I think this is part of Iran's economic defence.

If Iran is attacked it will immediately begin to only accept Euros for its oil. Japan, Iran's largest oil and gas customer (correct me if I'm wrong), is also one of the largest holders of dollars and dollar denominated financial assets. If this scenario occurs, Japan and the rest of Iran's customers (mostly Asians) will have to dump much of their dollars. Immediately the dollar will depreciate worldwide especially versus these asian countries' currencies. This will result in a financial crisis for the U.S. consumer economy because American corporations will no longer be able to purchase cheap products produced in these countries. They will be too expensive because Dollars will be so cheap they won't be able to buy $hit.

The more that Iran sells its oil to countries that the U.S. has a trade deficit with, the more of an economic impact Iran can have on the USD. The point is that Iran does have a hell of an economic deterrent right now, but then again these circumstances may change in a few years...

This editorial expresses a lot of the same ideas.

http://www.pressurepoint.org/roots/whenbuyeuros.html
 

Qahreman

Bench Warmer
Oct 18, 2002
2,105
0
#8
Sultan said:
Why don't you stick to the article and save your other stuff for the posts that are relevant to it.
Some people do that a lot. Like when you tell them that we're lauching a Satellite this summer, they talk about some kid who got flogged.

When you talk about this, they tell you there are 1 million prostitutes in Iran (obviously a number picked out of his nose).

I guess its just an oghdeh (sorry if i seem rude). I guess they just cant handle Iran being successful under a government they dont like.

But what I always tell myself is who cares what they think. As long as there are still those of us who unite behind our nation advancing. Iran will be a major world player in some years to come, and I am not speaking as an idealist...its the truth. BTW, people have showed their support today: http://news.bbc.co.uk/go/pr/fr/-/2/hi/midd...ast/4253171.stm
 
May 21, 2003
19,813
142
Not The Eshaalic Goozpublic !
#9
Sultan said:
Why don't you stick to the article and save your other stuff for the posts that are relevant to it.

Whether this attempt to create an oil market succeeds or fails, the lessons learnt will be very valuable.

I hope it does succeed but I like the market philosophy that is taking root in Iran. The Tehran Stock exchange is progressing and this would be a step in the right direction.

Good luck to them.
why don't you, and many others, look at a country as a collective set, not only pocket profit.

you must be living in the US. you are adapting the bush mentality.

also...

i better not say it i don't want to be the first person banned from here.;)
 
May 21, 2003
19,813
142
Not The Eshaalic Goozpublic !
#10
Qahreman said:
Some people do that a lot. Like when you tell them that we're lauching a Satellite this summer, they talk about some kid who got flogged.

When you talk about this, they tell you there are 1 million prostitutes in Iran (obviously a number picked out of his nose).

I guess its just an oghdeh (sorry if i seem rude). I guess they just cant handle Iran being successful under a government they dont like.

But what I always tell myself is who cares what they think. As long as there are still those of us who unite behind our nation advancing. Iran will be a major world player in some years to come, and I am not speaking as an idealist...its the truth. BTW, people have showed their support today: http://news.bbc.co.uk/go/pr/fr/-/2/hi/midd...ast/4253171.stm

and about oghdeh...yes i have oghdeh but over the Germans and Japanese not a bunch of diaper head losers who think by modifying a couple of iron scraps from north korea they have anything to say.

launch your satellites and go into whatever oil trade IMAGINARY organization but your regime is a collection of mentally retarded assholes who will run and hide at the site of the first cruise missile.

stick that up your nose.

this merger is not working out politically at all, because we lost a whole bunch of informed people from ISP and they were replaced by a bunch of NOKISEH dickheads from i don't know where....
sorry if i seem rude....:p
 

Sultan

Bench Warmer
Apr 7, 2004
586
0
#12
keyvan_pars said:
why don't you, and many others, look at a country as a collective set, not only pocket profit.

you must be living in the US. you are adapting the bush mentality.

also...

i better not say it i don't want to be the first person banned from here.;)

Keyvan_pars,

My point is that this paticular posting was in relation to a paticular item. So we should discuss the topic at hand. Let us not get lost and go on tangents.

If you want to look at the "collective set" then start a new thread focusing on that subject.

Give credit where it is due, this idea if it survives would be a big boost to Iran's economy. If we can improve our economy it will always benefit the people even if there are those who suck up a big amount.

Your comments and your reaction make you out to be very militant about your ideas and you should really be a little more tolerant because it is this militancy that is a problem.

Thanks
-Sultan
 

Qahreman

Bench Warmer
Oct 18, 2002
2,105
0
#13
keyvan_pars said:
and about oghdeh...yes i have oghdeh but over the Germans and Japanese not a bunch of diaper head losers who think by modifying a couple of iron scraps from north korea they have anything to say.

launch your satellites and go into whatever oil trade IMAGINARY organization but your regime is a collection of mentally retarded assholes who will run and hide at the site of the first cruise missile.

stick that up your nose.

this merger is not working out politically at all, because we lost a whole bunch of informed people from ISP and they were replaced by a bunch of NOKISEH dickheads from i don't know where....
sorry if i seem rude....:p

LOL...
 
Dec 12, 2002
8,517
1
usa
#15
Maohamad Asemi pour ?,hehehe ,what a smal world ,
yeah ,that poject will work rite away ,pretty soon everything will be reversed ,for instance, one tooman will be 800 dollars american money ,then we should get money from home to live a great life in usa .
 

araky

Ball Boy
Feb 1, 2005
36
0
#16
St_Mark
Very interesting and informative. I don't know what is the problem with Keyvan. Let's assume that some of the members here are supporting "shahanshahi" and someothers "Velayate-vaghih". If we are "civilized" enough, we should be able3 to hear what they say, not just juming on them and "shoar bedeem". This topic is not involving Iran or "regime gomhoori islam", it is a big factor that can dictate how " doolat haa" will act toward it.

Anyways, good discusion. I definately learned fromit so far, and I think this is that matter.
PS: Mybelief is this: " nah shah khoobe, na akhoond. Lanaat be hardootashoon."

Shaad basheed!