They think if they feed the beast it will leave their oil fields alone in the end.
Haven't you guys read the PNAC plan yet?
"OPEC meeting ends without deal; Saudi Arabia’s push to raise oil supply blocked" June 09, 2011|By Fred Pals, Grant Smith and Ola Galal, Bloomberg News
VIENNA — OPEC failed to agree on crude production for the first time in at least 20 years after six countries opposed a Saudi Arabian push to increase supply as oil trades above $100 a barrel.
It's the collapsing dollar that is driving up the cost of oil; there is plenty of supply.
“It was one of the worst meetings we’ve ever had,’’ Saudi Oil Minister Ali al-Naimi said as representatives of the 12-member Organization of Petroleum Exporting Countries left the meeting in Vienna after five hours of talks....
Saudi Arabia, OPEC’s largest producer, together with Kuwait, Qatar, and the United Arab Emirates, proposed increasing group output...
They were blocked by members, including Iran and Venezuela, which warned of a collapse in prices.
So when are we going to bomb them?
“It’s a bit surprising because the Saudis usually get their way, and the track record since 1998, on balance, has been pretty good,’’ said Mike Wittner, the head of oil-market research at Societe Generale SA in New York, who said before yesterday’s meeting there was a 65 percent chance OPEC would decide to raise production. “In this particular case, there were very diverse opinions going into the meeting and even looking at the fundamentals, there were different signals.’’
OPEC’s spare production capacity is poised to dwindle, David Greely, an analyst at Goldman Sachs Group, said yesterday.
Why anyone would believe a Goldman Sachs s***ter is beyond me.
Rising global demand for oil will exhaust OPEC’s surplus capacity next year, said Goldman, which forecast on May 24 that Brent crude will hit $120 within six months and $130 within a year. Brent settled 1 percent higher at $117.94 today in London.
Probably right; I'm sure Goldman has inside dope.
While OPEC’s lack of coordination appears “disconcerting, the fact remains that the vast majority of OPEC spare capacity remains in Saudi Arabia,’’ Greely said. “Consequently, it still remains a question of Saudi’s willingness and ability to raise production to keep pace with world oil demand growth.’’
It will be a stretch for Saudi Arabia on its own to add the 1.9 million barrels of daily oil out needed to meet the 30.87 million barrels of daily demand OPEC forecasts the third quarter, JPMorgan Chase & Co. analysts including Lawrence Eagles said yesterday. The bank reiterated its forecast that oil will reach $130 a barrel in 2011.
Also see: Gas Prices Pump Up Oil Company Profits
Oil has gained 10 percent this year, raising concern that price gains will stunt economic growth and stoke inflation.
--more--"
Related: Saudi Arabia to raise oil production substantially
"Royal funds buy Saudi peace; Kingdom boosts benefits by $130b" June 09, 2011|By Neil MacFarquhar, New York Times
RIYADH, Saudi Arabia — As one nation after another has battled uprisings across the Arab world, the one major country spared is also its richest — Saudi Arabia, where a fresh infusion of money has so far bought order.
The kingdom is spending $130 billion to pump up salaries, build housing, and finance religious organizations, among other outlays, effectively neutralizing most opposition....
Saudi Arabia, a close US ally, has struggled to preserve what remains of a regional dynamic upended by the Arab Spring — buttressing monarchies and blocking Iran from gaining influence.
While the United States has pressed other Arab nations to embrace democratic changes, it has remained largely silent on Saudi Arabia and the kingdom’s efforts to squelch popular revolts in neighboring Bahrain and Oman.
Does pressed also mean bombed?
Related: Bahrain: The Open-Ended Occupation
Saudi Arabia’s efforts have succeeded in the short run, at home and in its Persian Gulf backyard. But some critics call its strategy of effectively buying off public opinion unsustainable because it fails to address underlying problems.
“The problem is that some leaders do not understand what is going on and do not learn the lessons while these things are unfolding in front of their eyes, they do not learn the lessons of history,’’ said Prince Talal bin Abdul Aziz, 79, a brother of the king.
No sucker he!
What was my introduction to this piece again?
--more--"
Shouldn't the king have done that a long time ago?
And what were my introductory comments?
"US can’t keep relying on Saudis to cover for failed energy policy" June 13, 2011
Even if the Saudis have as much oil reserves as they claim, and even if they continue to pursue production policies meant to help the United States and undermine Iran, America’s interests differ greatly from those of the Saudi royal family. Ten years after 9/11, a portion of their petroleum profits is still cycled into mosques and madrasas around the world that preach the austere Wahhabi version of Islam, a fertile soil for jihadist extremism.
A junkie-dealer relationship with the Saudi royals may seem acceptable to Americans in moments of weakness, but the United States should be moving aggressively to extricate itself....
And if you still aren't getting the message:
There’s always the risk of a catastrophic terrorist attack on key Saudi oil installations....
By "Al-CIA-Duh?"
WhereTF they been for 10 years?
Cutting off the lifeblood of the war machine and western economies never occurred to them?
--more--"
Maybe time to suck some Saudi face, 'eh?
