Saudi Arabia announced today that they are cutting output to BELOW 10 myn bbls per day.. down about 800 k bbls per day from their peak.

( https://www.bloomberg.com/news/articles/2017-01-12/opec-boss-sees-producers-deciding-in-may-if-more-oil-cuts-needed )

Saudi Arabia has reduced oil production to less than 10 million barrels a day, below its targeted level, and will consider renewing its pledge to cut crude output in six months, Energy Minister Khalid Al-Falih said.

The world’s biggest oil exporter is currently producing at a 22-month low. It had agreed to cut 486,000 barrels a day to 10.058 million barrels a day as part of a global deal to reduce output to curb a supply glut. The caps on production, together with rising demand and natural decreases in output in some countries, (US Shales?!?) will help balance the market and support prices, Al-Falih said in a speech at an energy conference in Abu Dhabi.

“Oil production now is below 10 million so far,” he told reporters later on Thursday. “So we’re going the extra mile to lead our colleagues within and outside of OPEC to make sure that the market sees that there’s serious action in place.” Kuwait has also exceeded its targeted cut, according to that country’s oil minister.

Saudi Arabia is due to meet fellow members of the Organization of Petroleum Exporting Countries in May at their bi-annual meeting in Vienna to assess the market and the group’s production policy. OPEC states will also gather with major producers outside the group later this month in the Austrian capital to monitor their compliance with the production cuts, which aim at shoring up prices. Benchmark Brent crude was 71 cents higher at $55.81 a barrel in London at 12:17 a.m. local time.

Looks like they are just getting started.. in the 1980's they cut production over 6 myn bbls per day.. 

10 myn bbls per day in 1982.. 2.5 myn bbls per day by 1985.. down 7.5 myn bbls per day.. (I'm impressed.. you?) 

( http://www.tradingeconomics.com/saudi-arabia/crude-oil-production ) 

Bears.. you really wanna play chicken with these guys? 

Yipper Since Jan 1 US production up 180 k..  could go up another myn bbls.. KSA down 800 k could go DOWN another couple myn bbls.. 

lol.. kind of like taking on a semi while peddling a tricycle.. fair fight?? 

yal i wouldn't worry about it.. peddle on bears.. peddle on... 

me?  I think KSA is gonna put the price where they want it.. ( http://www.vox.com/2016/11/30/13792788/crude-oil-prices-opec-cuts )

$70 per bbls..???  probably somewhere around there.. before all is said and done.. just a matter of how quickly we get there..

Put's corn north of $5.00