Why are we still buying Saudi oil when our drillers are going bankrupt? They are the main financiers of Muslim terrorism around the world.
The fracking boom was the ONLY thing propping up the national economy. 0dingo destroyed that.
Because the saudis can produce oil cheaper than us.
Until the US can pull oil out of the ground and sell it at saudi price levels and still turn a sizable profit, we continue to buy saudi oil.
Free markets work. We buy from the cheapest producer.
“Why are we still buying Saudi oil when our drillers are going bankrupt? They are the main financiers of Muslim terrorism around the world.”
Only 13% of oil imported to the U.S. comes from Saudi Arabia. As to answer your question, oil in fungible and refiners buy oil that fits their specs and has the cheapest price. If American producers cannot make money at $50 a barrel, they will shut down.