World oil prices were slightly easier yesterday as downward pressure from looming Iraqi oil exports more than offset strong underlying demand.

Iraq is preparing to resume oil exports under an oil-for-food exchange with the United Nations, but traders said underlying demand for oil was strong and any price weakness may prove temporary. Oil companies were jostling for position yesterday to rent tankers after Wednesday's news that UN oil experts or overseers had approved Iraq's pricing formula for its oil.

That was nearly the final go ahead for Iraq to sell oil. The pricing formula was passed to the UN sanctions committee which had until yesterday afternoon to raise any objections. - (Reuter)