RIYADH — Saudi Arabia has denied claims that it purchased 25 oil tankers and rejected suggestions that the alleged purchases contributed to higher costs for transporting Iraqi oil.The Ministry of Energy issued the clarification in response to remarks by Iraqi Oil Minister Bassem Mohammed Khudair Al-Abadi and Ali Nizar Al-Shatari, chairman and director general of Iraq’s State Organization for Marketing of Oil (SOMO), during a session of the Iraqi parliament.The ministry said on Tuesday Saudi Arabia had not purchased the 25 tankers referred to during the session and described the information as incorrect.It stressed, however, that the clarification did not in any way diminish the Kingdom’s full right to make commercial and investment decisions it considers appropriate in accordance with its needs and interests.The ministry said the sharp increase in oil transportation costs was driven by factors different from those cited by the Iraqi officials.These included the military escalation in the region, declared Iranian attacks on vessels and disruptions to shipping through the Strait of Hormuz.The developments have led to a sharp rise in shipping risks and insurance costs while reducing the number of tankers willing to operate in the region, the ministry said.It added that these conditions had pushed regional freight costs to exceptional levels.The ministry said attributing the increase in Iraqi oil transportation costs to Saudi Arabia did not reflect the actual factors behind the surge.
