Home Davis Smith Can Saudi Arabia control the global price of oil?

Can Saudi Arabia control the global price of oil?

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Can Saudi Arabia control the global price of oil?

Article by Davis Smith

Saudi Arabia has the ability to export nearly 11 million barrels per day and has set their highest export of oil in 12 years to nearly 8 million barrels per day.

Saudi Arabia (Sunni) continued war with Yemen,  ISIS having taken control of the City of Ramadi (Sunni Anbar province),

100 miles from Baghdad. The Iranian-back Shiite militia plan to take back Ramadi.

Iran is sending additional ships to Yemen.

The main question is whether Iran has forgotten about it’s 1980 to 1988 years of war with Iraq and now creating their own state within Iraq.

Whether Saudi Arabia and other OPEC members can keep flooding the markets with oil and driving down prices to unsustainable levels for U.S. operators, time will tell.

The mixture of these international political and economic signs the U.S. Energy Information Administration
(EIA) released a report on Wednesday that stated oil production in the Eagle Ford has fallen
by 73,000 barrels per day.  Crude prices increased nearly 40% in March.  With oil prices around $60. per barrel there are

increases in the number of active rigs in Kansas, Oklahoma, Louisiana and West Virginia.

Most of the U.S. major oil companies have represented a stabilized $60. to $65. price they will begin to head back

to the oil patch which is beneficial to the Oilfield Families of America.


Davis Smith- 

seadavis@aol.com

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