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Letter from London: The oil market should panic tomorrow
Emergency oil stocks provide a last line of defence to oil market shocks, so the IEA’s unprecedented 400m bl release represents something of a double-edged sword
Letter from Dubai: A safe haven under fire
Missiles over Dubai and disruption in Hormuz are testing the emirate’s reputation—and shaking the energy hub at the centre of the Gulf economy
The diesel crisis
By shutting the Strait of Hormuz, Iran has cut exports of distillate-rich Middle Eastern crude, jet fuel and diesel, and is holding the energy market hostage
Explainer: Fujairah on high alert
With the Strait of Hormuz effectively closed following US-Israel strikes and Iran’s retaliatory escalation, Fujairah has become the region’s critical pressure release valve—and is now under serious threat
Middle East oil vulnerabilities have been exposed
The killing of Iran’s Supreme Leader Ayatollah Khamenei in US–Israeli strikes marks the most serious escalation in the region in decades and a bigger potential threat to the oil market than the start of the Russia-Ukraine crisis
How Hormuz chokehold threatens LNG buyers
A potential blockade of the Strait of Hormuz following the escalating US-Iran conflict risks disrupting Qatari LNG exports that underpin global gas markets, exposing Asia and other markets to sharp price spikes, cargo shortages and renewed reliance on dirtier fuels
Letter from the Middle East: Aramco provides big global gas reveal
The Saudi energy leader’s announcement of first production at Jafurah and the launch of operations at the Tanajib Gas Plant marks a turning point not just for the company, but for the world’s energy landscape
Letter from Iran: Testing times for Tehran-Beijing crude dynamics
Growing pressure from the Trump administration continues to threaten a resilient China-Iran oil nexus
Letter from Saudi Arabia: Big oil meets big shovel
As Saudi Arabia pushes mining as a new pillar of its economy, Saudi Aramco is positioning itself at the intersection of hydrocarbons, minerals and industrial policy
Explainer: Iran’s indispensable energy role
The country’s global energy importance and domestic political fate are interlocked, highlighting its outsized oil and gas powers, and the heightened fallout risk
Oman Saudi Aramco Saudi Arabia Iran UAE GCC Qatar
Gerald Butt
31 May 2017
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Friends and foes in the Gulf

GCC: An intra-GCC political row is diverting attention from external economic threats facing the six energy producers

A falling out among friends can be a painful business. The six nations of the Gulf Cooperation Council (GCC) are experiencing this right now. The side-effects of sectarian rivalry in the Middle East have infected the group and threaten to undermine its cohesion. The GCC was formed in 1981 after the overthrow of the Shah of Iran, when Gulf leaders took seriously Tehran's pledge to export the Shia revolution. Yet differences over the GCC's strategy in dealing with Iran are one of the major causes of today's row. The result: a vicious media war which sees Qatar on one side and Saudi Arabia, the UAE and Bahrain on the other. Qatar believes in maintaining cordial relations with Iran, with which i

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