OPEC’s Newest and Biggest Headache

Comments (6)

  1. Mustosheer says:

    Get rid of Saudi’s monarch. We all will have a good, prosperous life in America for years to come. Oil will go back to 100 Dollars a barrel, and USA with, the help of Iranians, will dominate the oil monopoly and the Petro Dollar base economy in the world. If U.S. does not make a deal on Nov. 24th 2014 with Iranians, Petro Dollar will collapse as well as we, the Americans.


  2. jrj90620 says:

    You wish the oil price decline was temporary. I think the 40-year oil bull market (1973-2013) is over. That doesn’t mean that prices won’t fluctuate, up and down, but the general trend won’t be oil rising more than overall inflation.


  3. joe says:

    If oil prices keep falling there is going to be a disaster for employment and real estate like it was in the 1980s. I don’t think anyone remembers the economic disaster that created.


  4. sher ali says:

    Once the time will come. Nobody will purchase oil from Saudia. Will dry the wells in near future.


  5. Bruce Fouraker says:

    The Saudi’s are making a large error in judgment. If prices go below $60 it will create temporary losses to the U.S. oil production, which depends on fracking.
    The problem is the Saudi’s cannot sustain production at under $60; while a barrel of oil costs $30 to produce in Saudi Arabia this low price cannot sustain the lifestyle of their billionaire king, princes, and sultans.
    The Saudis may have 30 to 40 years of oil, and they need to start changing their economy now to be able to deal with the end of their oil supply around 2050 to 2070.
    The U.S. can break even at $60 per barrel and the oil companies will be able to make a profit producing at the $65 range for decades; this equates to $2.65 at the pump. The proven reserves could provide the petroleum needs of the world at current usage for over 191 years.


  6. Jawaid manzoor says:

    For one, it is more than competition for Saudi Arabia. They, along with gulf states, have overspent to keep up with their project commitments half way and need to increase production – particularly Saudis while even home employment is down.
    – Chinese do their home work well in advance, besides with enough cash at hand. Some years back they made a 25-year agreement with Iran; now their options are open. But, oil prices have been up and down through ages, if to recall a three dollars barrel in early 70s oil crises and barely going up to nine dollars for while. So it behooves it will stablize at some point and not far off, if definitely needing a drop.


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