central - east central Minnesota - | Tara Farms - 6/21/2011 10:56 SA has a cost of about 10.00 per barrel on their Oil, the lowest in the world so thye won't take out all of their profits but they will hurt the rest of OPEC. Yes I do think to get people back "Inline" they will - They have done it before also stops more world production from coming online
That says it all . . . ..
They (SA) have been holding production off, trying to make more dollars with higher priced crude . . . hasn't worked to their favor. Over production of cheap crude does work in their favor. Use goes up, world wide and isn't favorable to that more expensive hard to develop crude in other parts of the world. The anouncement of OPEC and SA increasing crude was well over a month ago . . . . at a time of over supply of crude/refined fuels in the US - golf region.
The real reason ? I don't know .. . . I'd rather have the crude for future, then dollars or other currencies in this world recession . . . . . |
EIA states Saudia Arabia pumping extra Oil
