Post date: Feb 19, 2012 3:18:49 PM
TEHRAN, IRAN (FEBRUARY 19, 2012) (PRESS TV) - Iran state television announced on Sunday (February 19) that Iran has stopped selling crude to British and French companies in a retaliatory measure against fresh EU sanctions on the Islamic state's lifeblood, oil.
Iran has stopped selling crude oil to British and French companies in a retaliatory measure against fresh EU sanctions.
The European Union in January decided to stop importing crude from Iran from July 1 over its disputed nuclear programme, which the West says is aimed at building bombs but Iran denies.
Iran's oil ministry later posted a statement quoting spokesman Alireza Nikzad confirming the move and saying "we will sell oil to new customers."
On February 4, Iran's oil minister had warned that the Islamic state would cut its oil exports to "some" European countries.
The European Commission said last week that the bloc would not be short of oil if Iran stopped crude exports, as they have enough in stock to meet their needs for around 120 days.
Industry sources told Reuters on February 16 that Iran's top oil buyers in Europe were making substantial cuts in supply months in advance of European Union sanctions, reducing flows to the continent in March by more than a third - or over 300,000 barrels daily.
France's Total has already stopped buying Iran's crude, which is subject to fresh EU embargoes. Market sources said Royal Dutch Shell has scaled back sharply.
Among European nations, debt-ridden Greece is most exposed to Iranian oil disruption.
Motor Oil Hellas of Greece was thought to have cut out Iranian crude altogether and compatriot Hellenic Petroleum along with Spain's Cepsa and Repsol were curbing imports from Iran.
Saudi Arabia says it is prepared to supply extra oil either by topping up existing term contracts or by making rare spot market sales. Iran has criticised Riyadh for the offer.