A war in Iraq could take the price of oil as high as US$50 (RM190) a barrel, Prime Minister Dr Mahathir Mohamad warned today as he prepared to take over the chairmanship of the 114-nation Non-aligned Movement (NAM)

Mahathir also believes the United States would fan the flames of international terrorism by leading an attack o­n Iraq and has made it clear that he will attempt to steer the NAM into declaring strong opposition to war at its summit here.

"Oil prices, I believe, can go up to about US$50," he told a news conference after the Umno Supreme Council meeting.