Iran waiver decision could spark disruption: EIA

Saudi Arabia and other major oil producers will be able to offset the loss of Iranian crude exports, but not quickly enough to prevent oil prices from rising, the EIA says in its latest Short-Term Energy Outlook. Saudi Arabia, the UAE, Kuwait and Russia will largely make up the loss of Iranian exports following the end of US sanctions waivers on 2 May, the EIA says. But their supply responses "will take several months to materialise completely, whereas the disruption from Iran is likely to occur within weeks", it says. Iran is threatening to stop complying with two of its commitments under the Joint Comprehensive Plan of Action agreed in 2015 — concerning uranium enrichment and its heavy water reactor at Arak — as it tries to ensure that it retains access to the global crude markets.