Iran makes £55 million from hostage crisis as oil prices soar

[TexasLawyer]

Iran makes £55 million from hostage crisis as oil prices soar
GERRI PEEV POLITICAL CORRESPONDENT ([e-mail])

IRAN is gaining up to £5 million a day from detaining 15 British sailors and marines as the crisis causes the price of oil to rise dramatically. Since Iran's Revolutionary Guards seized the Britons 11 days ago, the price of oil has soared 10 per cent, reaching six-month highs of $66 per barrel in New York last week.

According to OPEC figures, Iran exports 2.3 million barrels of oil per day, meaning Tehran has profited from the crisis by up to £5 million a day. By the end of today, the extra cash it has raked in could total £55 million.

While the oil price has risen, the public pressure on Iran was lowered yesterday as more conciliatory stances were adopted.

Des Browne, the Secretary of State for Defence, said the UK government was holding bilateral talks with Iran over the detainees, who were seized in the Persian Gulf on 23 March.

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At two dollars to the pound, that's about $10 million/day, or $110 million for the 11 days of captivity.

http://news.scotsman.com/politics.cfm?id=506142007

[obaman08]

1. Iran is 2nd to us in imports of oil

This really can't be any better for them than it is for us.I also believe the government subsidizes a large portion of the cost of their gas.

[TahitiNut]

2. Iran exports oil and imports gasoline ... they don't have the refinery capacity

... to meet their domestic demand for gasoline.