Oil Price Fall As Iran-World Power Agree Frame Work Nuclear Understanding
03 April, Lausanne ( switzerland)
The crude-oil prices fell Thursday after six world powers and Iran announced they had agreed on a framework to curb Iran’s nuclear drive.
Brent North Sea crude for delivery in May, the global benchmark contract, slumped 2.15 dollars, settling at 54.95 dollar a barrel in London trade.
The US benchmark, West Texas Intermediate (WTI) for May delivery, shed 95 cents to close at over 49 dollar a barrel on the New York Mercantile Exchange.
After marathon talks in Switzerland, Iran and world powers have agreed on the framework of a potentially historic deal aimed at curbing Tehran’s nuclear drive.
It marks a major breakthrough in a 12-year stand off between Iran and the West, which has long feared Tehran wants to build a nuclear bomb. Reading out a joint statement after eight days talks yesterday, European Union foreign policy chief Federica Mogherini said,Tehran has agreed to curtail its nuclear program in return for the lifting of punishing sanctions. The main outlines agreed now have to be finalised in a highly complex agreement by June 30.
Iranian media said, the deal will include Iran slashing by two-thirds, the number of centrifuges, to 6,000 from 19,000, which can make fuel for nuclear power but also the core of a nuclear bomb. Mogherini also said that the design of a new reactor will be changed so that no weapons-grade plutonium can be produced.
In return, Mogherini said, nuclear-related US and EU sanctions will be lifted once the UN atomic watchdog has verified that Iran has implemented its promises.
US Secretary of State John Kerry hailed a ‘big day’ while Iranian President Hassan Rouhani said the drafting of a full agreement would begin immediately with the aim of completing it by the June 30 deadline.
US President Barack Obama welcomed the framework nuclear understanding with Iran as an ‘historic’ agreement that could pave the way for a final deal that would leave the US, its allies and the world safer. Speaking from the White House , Mr Obama said the agreement is a good deal, a deal that meets our ‘core objectives’.
UN Secretary-General Ban Ki-moon welcoming the move said, it will pave the way to bolstering peace and stability in West Asia. In a statement, Ban said , a comprehensive, negotiated solution to the Iranian nuclear issue will contribute to peace and stability in the region and enable all countries to cooperate urgently to deal with the many serious security.
Hailing the framework deal curbing Iran’s nuclear drive, Russia said, it is a recognition of Tehran’s unconditional right to pursue a civilian nuclear programme.