World crude oil prices inched lower in Asian trade today after soaring overnight amid tensions between oil-producing Iran and the US. New York's main contract, West Texas Intermediate (WTI) for delivery in February, dipped 36 cents to $102.60 after surging $4.13 in US trade. Brent North Sea crude for February shed 32 cents to $111.81 after rallying $4.75 in London the day before. Iran has threatened to choke off shipping or go after American naval ships if Western governments implement the latest round of punitive sanctions over its nuclear programme. Its military warned yesterday that it would not allow a US aircraft carrier to return through the Strait of Hormuz. But the US has insisted that it has no plans to pull warships from the region and has dismissed Tehran's threats as those of a weakened, isolated regime. A military confrontation between the US and Iran could see crude oil prices hit the $200 mark, analysts said. The Strait of Hormuz is a vital waterway in the Middle East through which 20% of the world's oil is transported.

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