Iran's Oil Minister Gholam Hossein Nozari, 02 Jul 2008

Iranian Oil Minister Gholam Hossein Nozari says any attack on Iran willcause further turmoil in the already volatile crude oil market.

Speakingin Madrid, Spain on the sidelines of the World Petroleum CongressWednesday, Nozari said Iran will react fiercely if attacked.  However,he said his country would continue to supply the oil market.

TopU.S. military officer Admiral Michael Mullen said a hypotheticalIsraeli attack on Iran would be a high-risk move that could furtherdestabilize the region.

Reports citing the possibility thatIsrael could attack Iranian nuclear facilities have raised concernsabout future Middle Eastern oil supplies.  The tension has contributedto a recent rise in the price of crude oil.

Prices rose above$142 a barrel during trading in New York today following a U.S.government report that U.S. oil inventories unexpectedly fell last week.

Prices are still below the record high of $143.67 per barrel, which was reached Monday.

Meanwhile,the retail price for gasoline in the United States has risen to a newrecord high.  It now costs an average of $1.08 a liter ($4.09 a gallon)for fuel.

Some information for this report was provided by AFP, and Bloomberg.