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French Prime Minister, Francois Fillon, says there’s a high probability that Europe and the United States will strike a deal on the release of strategic oil reserves in a bid to bring down prices and prevent a shortage.
“If we reach an agreement with the other developed countries we can, by using our stocks, push oil prices down during a limited period.”
With global supplies already down significantly, such measures are warranted, says Simon Wardell, Senior Oil Analyst at HIS Global Insight:
“It would only take a disruption from Iran, which exports roughly two million barrels a day. If that goes off the market then, yes, we really do have some issues with trying to meet that supply.”