BASRA VIOLENCE=OILUS INTERRUPTUS

The British/Iranian hostage crisis has deflected attention from this crucial story.

Violence in Basra threatens oil
March 28, 2007 (UPI)

WHO
Two top Iraqi political factions: The Mahdi Army, led by cleric Moqtada al-Sadr, and the Fadhila Party, led by Grand Ayatollah Mohammed al-Yaacoubi

WHAT
The two groups are fighting in the port city of Basra and the violence and chaos could engulf much of the country's oil production if the unrest escalates further.

WHEN
The Mahdi Army and the Fadhila Party have been fighting in Basra's streets for four days.

WHERE
Basra, the southern Iraq port city situated strategically at the conjunction of the Tigris-Euphrates estuary and Persian Gulf.

WHY
The vast bulk of the 2 million barrels per day of southern Iraqi oil production is exported through Basra. Fadhila and Sadr want access to the resulting legitimate and black market revenues.

QUOTES
"If violence spills outside the city of Basra and closer to local oil production infrastructures, Iraqi crude production could take a major hit," [Greg Priddy, analyst for Eurasia Group] wrote.