Saudi Arabia to donate fuel to troubled Yemen

December 29, 2011 13:51


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DUBAI - Saudi Arabia will donate fuel to Yemen, throwing a second lifeline in six months to its impoverished southern neighbor to prevent a shortage there from escalating into chaos, industry sources said on Thursday.

State oil giant Saudi Aramco will buy oil products from the market but will ask the supplier to discharge the cargo in Yemen instead of in Saudi ports, industry sources familiar with the matter told Reuters. The amount Yemen will receive from Saudi in January will be around 500,000 tons.

Nearly a year of protests demanding the end of President Ali Abdullah Saleh's 33 year rule has brought the poorest Arab country to the brink of a civil war.

"There is a government to government agreement between Yemen and Saudi Arabia where Aramco is buying the gasoline and gas oil and paying for it," one source familiar with the deal said.

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