Posts Tagged ‘Saudi Arabia’

Exactly how high do oil prices have to rise before Saudi Arabia will start using it supposed three million barrels of spare capacity? Does Saudi Aramco intend to stay on the sidelines watching Brent crude prices -already $120 per barrel – climb as high as $200 per barrel, while blaming speculators for distorting market fundamentals? [...]

Share

Is The House of Saud Next?

Posted by Jeff Rubin on March 9th, 2011 under SmallerWorldTags: , , ,  • 25 Comments

As Libya descends into a bloody and protracted civil war, both the White House and International Energy Agency are considering tapping strategic oil reserves. Normally, no one would care what’s happening in a remote desert country that has been a pariah state for decades. But when you produce 1.6 million barrels a day of oil [...]

Share

Only A Recession Stands in the Way of $200 Oil

Posted by Jeff Rubin on March 2nd, 2011 under SmallerWorldTags: , ,  • 38 Comments

With very limited excess capacity in Saudi Arabia and the rest of OPEC, further production shutdowns in the convulsing Middle East will soon push oil prices to new record highs. The Brent futures contract, the world’s benchmark price, almost reached $120 per barrel in London last week. With gasoline soon to cost  six pounds a [...]

Share

The International Energy Agency needn’t bother exhorting OPEC to pump more oil to fuel a global economy that now burns a record 87 million barrels a day. Confidential cables from the U.S. embassy in Saudi Arabia released recently by Wikileaks confirm what others have long suspected: OPEC’s kingpin producer, Saudi Arabia, has little more to [...]

Share

The strongest manufacturing numbers coming out of the Chinese economy in a seven-month period, coupled with plunging oil inventories in the world’s largest energy consuming economy, have sent oil prices to a 25-month high. With no let-up in China’s fuel demand, the world should be looking at triple-digit oil prices again within a quarter. That [...]

Share