Drop In World Oil Price Little Effect On Brunei
By CT Hj Mahmod

Bandar Seri Begawan - The drop in the price of oil has little effect on Brunei's lucrative oil and gas sector, analysts in the country said yesterday following reports that the oil price dropped to below US$54 per barrel on Tuesday.

Government sources said that the country's relatively low oil production, which stood at 201, 738 barrels per day in Q2 2004, enabled the oil price drop to have little affect on Brunei's oil and gas sector.

The oil and gas industry for the tiny oil-rich state remains lucrative with a reportedly increased value of oil and gas exports to BND 2097.8 million in Q3 2004, all thanks to the higher oil price per barrel, according to the recent edition of Brunei Economic Bulletin.

Singapore AP yesterday reported oil prices dropped below US$54 on Tuesday, maintaining a downward trend generated by profit taking over the past week.

Analyst Esa Ramasamy, a Singapore based oil editorial manager for an energy reporting agency on the oil price drop was quoted as saying by AP "a drastic drop was highly unlikely". -- Courtesy of Borneo Bulletin

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