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To: RegulatorCountry
...and crude prices take another big tumble as they appear to be poised to do...

I don't see that happening.

The Saudis are near capacity with their sweet crude. The rest of the ME is at cap. China and India want oil, Japan must temporarily, at least, replace nukes. Iran may screw up ME oil and Egypt may screw up Suez.

North Sea is tapering now, Europe is lucky to have kept Libyan oil (how long?).

I believe the Med oil is more important than Pravda/EU want to admit. The majority of that oil and gas will go to Turkey/Lebanon (puppet), or Greece/Israel.

4 posted on 05/28/2012 11:51:33 AM PDT by Navy Patriot (Join the Democrats, it's not Fascism when WE do it and the law is what WE say it is.)
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To: Navy Patriot

There is the supply end of the equation, with truly astounding increases in proven reserves, and not just in the United States, due to the viability of oil shales and fracking.

Then, there is the demand end of the equation, which has been declining precipitously in the United States for several years, now spreading to the Eurozone and China.

The danger in this is in price declines sufficient to render oil shales and fracking cost uncompetitive. Provided, bowever, that this level is not breached, supply is not a problem.

Greece is a problem. Taking them on in the wake of being kicked out of the EU with their entitlement mentality and huge debts is not going to be all that interesting to Russia or much of anyone else for some time. They made their bed and are going to have to lie in it for a while.

Greece will be receiving emergency foreign aid for basic necessities before this all plays out and settles down, imho.


5 posted on 05/28/2012 12:05:41 PM PDT by RegulatorCountry
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