Oil Price falls as Iran Rejects output Freeze Deal

 

Oil Prices have fallen by nearly 3% after Iran put off plans to join nations proposing a freeze on production.

Oil minister Bijan Zanganeh said Iran would only join discussions to cap output after its production reached four million barrels per day. 

In February, Saudi Arabia struck a deal with Russia and other Opec nations to freeze oil output at January levels.

But Iran wants production to hit pre-sanction levels before beginning talks.

Saudi Arabia stocks fall sharply on Tax Rises

The country's main stock index fell 3% in the opening 15 minutes of trade with petrochemical firms worst hit.

Saudi Basic Industries, the biggest petrochemical producer, tumbled 8.3% while Saudi Kayan lost 4.8%. 

 

Saudi Arabia's budget deficit soared to $98bn (£65.7bn) this year on the back of falling crude prices.

In the first budget under King Salman, the kingdom said revenues reached 608bn riyals (£108.7bn; $162bn), down 15% on official expectations.