Article: INDONESIA - The Oil Market Perspective.

LNG and gas export prices depend on the value of fuels derived from crude oil. Jakarta needs a strong crude oil price and this will depend on OPEC maintaining a credible price defence strategy after what will happen in Iraq. April WTI at NYMEX rose to $39.99/b on Feb. 27 and could jump above the January 1991 Gulf War record if a second US-led war against Saddam's Iraq breaks out, as the US oil market operates with stock levels at their lowest in 27 years. On March 10 April Brent hit its highest point since the 1991 Gulf war at $34.33/b.

An assurance that the Paris-based IEA will release strategic stocks if an Iraq war causes a serious shortage was made on the eve ...

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