International

A landmark deal between America and Iran this week to limit Tehran’s nuclear ambitions and lift international sanctions could deal a fresh blow to the oil price — and the beleaguered North Sea.

Foreign ministers from Britain, Germany, France, Russia and China jetted in to Lausanne, Switzerland, this weekend in the hope of hammering out a deal before a deadline expires on Tuesday.

Last week US secretary of state John Kerry expressed optimism that the sides were moving towards an accord. This weekend, however, he and his counterpart, Iran’s minister of foreign affairs Mohammad Javad Zarif, dampened expectations.

Iran has the world’s fourth-largest oil reserves and second-biggest gas resources, but production has been hamstrung by Western sanctions. Exports have roughly halved since 2011, with most of its crude sold to China, India, and other Asian buyers.