Posted on 09/21/2015 11:47:54 AM PDT by bananaman22
We must all hang together, or assuredly we shall all hang separately.
- Benjamin Franklin, at the signing of the U.S. Declaration of Independence-
The previous article in this series on Saudi oil policies asked what the Saudis planned to do as their encore in 2016 after sacrificing approximately $100 billion in crude oil export revenue in 2015 in pursuit of market share.
This article provides the author’s answer: the Saudis must alter course, seek a consensus on prices and volumes with their fellow OPEC members, coordinate with Russia, and reduce output from 2015’s average (approx. 10.5 mmbbl/d) to signal their commitment.
Why? Crude prices staying lower for longer will rapidly devastate the Saudi economy.
(Excerpt) Read more at oilprice.com ...
The problem is higher oil prices encourage American production.
Petro Ping.
All that country does is export oil and terrorism.
They will be in a surprise when the world realizes its easier to invade and take their oil that it is to continue paying for it.
europe needs to start flying all those refugees to saudi arabia....
Screw SA.... they are the ones directly responsible for funding whabbism for the last 50 years we need to start roosting their chicken on THEIR FRONT porch.
I think the Saudis are sponsoring the invasion of Europe right now. And the time is ‘now’ because their monetary situation is not going to be able to finance such shenanigans for long going forward.
If the Saudis give up market share to raise prices, it will help Russia and the US, and probably Canada, but wouldn’t help the Saudis. They’ll just get caught in an endless loop. As Saudi production decreases, prices go up, American production goes up, and prices go back down.
The best the Saudis can hope for is another Bush administration.
I would like to know how much the Saudis influenced our foreign policy and actions after 1973. There might be some surprises.
That should put you in the running for winning the Internet today. The strange thing is that most of the GOP-e can't feel their strings being pulled while trying to achieve that goal.
I agree wholeheartedly.
Oh like how in hours after 911 GWB got them onto airplanes. Yeah, I would say they have plenty sway, especially with the House of Bush.
Makes you wonder why they didn’t get out of Dodge beforehand.
Think back about the oddities since 1973 that might worked out in the Saudis’ favor.
I’d really like to see the redacted 28 pages of the 911 report.
Correct you are but what Saudi has failed to understand is that with fracking we can get the oil we need at current market prices.
Right now we are only drilling and fracking the "sweet spots" where the costs of production is low. We are no longer drilling the areas that need a high cost per barrel to be economic. When the price of oil increases again, we will be drilling the marginal areas again.
The game changer is the fact we can be self sufficient in oil dependent on price and there is not one damn thing Saudi can do about it!!!!!
See my post #16. You and I both understand economics.
Those are the pages that we removed to protect the Saudis, correct?
That’s my understanding. It must be pretty damning info.
I fully agree. They cooked it up with their ally, Turkey, who opened their borders for transit.
But they have allies, within Europe, for this move. Part of the story is the overthrow of the Libyan govt, which was standing in the way of an influx of refugees from Africa. Notice also, Turkey has been very active in Libya, for no obvious strategic reason.
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