Azerbaijan, Baku, March 20 / Trend A.Badalova /
GCC (Gulf Cooperation Council) countries received assurances from Iran that it will not close the Strait of Hormuz as reaction to economic sanctions by Europe and the U.S., the Amir of Kuwait Sheikh Sabah Al-Ahmad Al-Jaber Al-Sabah told ih interview to the Japanese major daily Asahi Shimbun, Kuwait News Agency (KUNA) reported.
"The strait of Hormuz is considered a vital artery for the world as approximately half of the oil supply passes through it, and the GCC countries, including Kuwait, have contacted the officials in Iran to ensure that no action is taken to close the Strait of Hormuz ... We have received assurances from Iran that it will not take this step. And international efforts are also in this direction," Al-Sabah said.
He stressed that for a long time, Kuwait has been working on providing a stockpile of oil through its global companies outside the Gulf region to ensure the constant supply to the countries importing the Kuwaiti oil, and also it is contacting countries in the GCC to face such a possibility.
Threats concerning the possibility of closing traffic through the Strait of Hormuz connecting the Persian and Oman Gulfs, were voiced by some leaders of Iran.
The EU formally imposed an oil embargo on Iran and agreed to a freeze on the assets of the Iranian Central Bank on January 23, but existing contracts will be honored until July 1. The EU imports about 20 per cent of Iranian oil which primarily is supplied to the Union's southern countries - Italy, Spain and Greece.
Concerns about the oil export cut by Iran and the possible closure of the Strait of Hormuz continue to be a strong driver for global oil prices.
With regard to the high oil prices Al-Sabah said that Kuwait is seeking, within OPEC, to supply the market according to its needs to ensure the price stability and to provide this strategic commodity at fair prices. He aslso added that Kuwait is also currently utilizing international expertise to increase its oil production in order to meet the future needs of the market,
Kuwaiti Amir believes that the fair price for both producing and consuming countries is $100 per barrel.