"We can confirm that a tanker chartered by the Indian Oil Corp is being loaded with crude oil at the southern port of Mina al Bakr," spokesman Fred Eckhard told reporters at UN Headquarters in New York. "The tanker, named the Jade, began lifting the oil before 1 a.m. local time and it is expected to conclude the operation before midnight local time this evening," he added.

According to Mr. Eckhard, a second Indian tanker was awaiting loading at Mina Al-Bakr.

Meanwhile, the committee monitoring the sanctions against Iraq convened in New York today for a briefing by oil overseers working under the UN's oil-for-food programme. That scheme allows Baghdad to use a portion of its oil revenues to purchase humanitarian relief.