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Saudis want money for not selling oil

Glendale : CA : USA | about 1 month ago  
Views: 2,525
Oil prices

I think I've finally found an issue on which liberals and conservatives can agree. I'll bet the lefties and the righties will be together on this one.

The New York Times reported yesterday that Saudi Arabia is asking other oil-producing countries to join with it in demanding financial compensation if wealthy countries reduce their oil consumption to fight global warming.

Now the last time I checked the law of supply and demand, it said that if supply holds steady and demand drops, prices should fall.

The Saudis apparently believe that if they sell less oil, they should get more per barrel for it.

I was always sorry we didn't get hard-line with oil producers 30 years ago. As the late Sam Kinison -- one of my favorite comedians -- once said, we ought to tell them that whatever a barrel of oil costs, that's what a bushel of wheat will cost.

And if they don't want to sell their oil, let them eat sand-wiches.

Sorry, but this is the biggest load of crap I've heard since, well, since Dubya Bush left office. Yes, oil revenues account for most of Saudi Arabia's budget, but I can think of two things they can cut without a whole lot of pain.

1. Private jets, etc., for the 3,000-member royal family.

2. Funding for terrorists.

Most of the OPEC countries don't have much going for them except oil. Yeah, Venezuela has cocaine and Russia has whatever they have, but does anybody really think we would even know where Iraq is if it weren't for oil?

Don't worry, we'll still be buying enough oil for enough years to keep these countries going. And if they have to cut back on those checks to Osama bin Laden or pan-fry up a few cobras, so be it.

Cut back on your support for radical Islam and then we'll talk.

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Blogs
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  • Blog Source: www.1115.org
    The kingdom of Saudi Arabia believes (very strongly indeed) that if rich countries cut back oil consumption to fight global warming, they should have to pay compensation to oil producers: ... demanding compensation from the rest of the world for
  • Blog Source: newchautauqua.org
    Saudi Arabia is trying to enlist other oil-producing countries to support a provocative idea: if wealthy countries reduce their oil consumption to combat global warming, they should pay compensation to oil producers. ... But not every oil- exporting
  • Blog Source: rawstory.com
    The Saudis say it's the only way they'll be able to afford helping the fight against global warming. The New York Times frames the Saudi idea as, "if wealthy countries reduce their oil consumption to combat global warming, they should pay
  • Blog Source: weblog.sinteur.com
    Saudi Arabia is trying to enlist other oil-producing countries to support a provocative idea: if wealthy countries reduce their oil consumption to combat global warming, they should pay compensation to oil producers. [..] “It is a very serious
  • Blog Source: www.spectator.co.uk
    Saudi Arabia is trying to enlist other oil-producing countries to support a provocative idea: if wealthy countries reduce their oil consumption to combat global warming, they should pay compensation to oil producers. Good luck with that. ... Remember
  • Blog Source: thesebastards.blogspot.com
    Saudi Arabia is trying to enlist other oil-producing countries to support a provocative idea: if wealthy countries reduce their oil consumption to combat global warming, they should pay compensation to oil producers. ... C'mon world leaders , what's
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Posted By pollard pollard | about 1 month ago
Mike,
darn it, I was just starting to dislike you, then you write this! Oh yea, Russia's known for its Vodka!
Posted By BorderExplorer BorderExplorer | about 1 month ago
Reminds me of the corn producers who worked it out so that they could get paid for not growing it.
Posted By BorderExplorer BorderExplorer | about 1 month ago
I guess some farmers get paid for not planting their croplands. This sounds sorta similar.
Reply By lecia lecia | about 1 month ago
farmers do not plant to allow the land to recuperate so we won't have another dust bowl. and they get paid to do it so they won't go bankrupt.

so are farmers evil now too?
Reply By BorderExplorer BorderExplorer | about 1 month ago
Nah. Sorry, lecia. I was just making a smart remark--not serious. Thanks for clarifying that. I shouldn't joke in the comments. Without the nonverbals along with it, the reader can't tell I'm goofing off. Thanks again.
Posted By Changez Changez | about 1 month ago
I thought this was pretty weak; the Saudi's have been manipulating oil production for decades now, driving up prices when they are low by producing a little less, but they are also criticised by other OPEC members for increasing supply above their quota to keep prices low, usually at the behest of the US. On another note, Mexico, Canada and Venezuela are the biggest exporters to the US, not Saudi, so if the US stopped buying a bit, chances are prices would go down, and Russia is not a part of OPEC and exports quite a few things. The Saudis obviously want money for not producing because cutting production reduces their profits. They have no need to cut it unless opec asks them to.
Posted By lecia lecia | about 1 month ago
i don't think the saudis or any other oil profit dependent countries have anything to worry about for at least another hundred years
Posted By khumag12 khumag12 | about 1 month ago
ohoh sounds like oil is going to hike up again if that happen!
Posted By InspectorGadget InspectorGadget | about 1 month ago
That is quite ridiculous. It seems like there's only one way to stop all this oil drama: The world needs to COMPLETELY free itself of oil dependence. It's almost 2010, and despite all the advancements that have been made, we're still dealing with such an outdated source of fuel. A more efficient and environmentally friendly alternative is long over due. Hopefully something becomes widely available in the market soon.
Posted By instgtr instgtr | about 1 month ago
Hey Mike,

Even worse than that - I heard a few years ago that the Saudi's are asking for money to help them research "alternative" sources of energy so when the oil supply dissappears they won't go broke...

They're making BILLIONS, but they want other countries (The US included) to "give" them money to find new ways to make THEM more $$$...
Reply By CaliforniaMike CaliforniaMike | about 1 month ago
Good point. People can ask for whatever they want -- I'd love to date Virginia Madsen, for example -- but whether they get what they want or not is problematical.

In my case, both my lovely wife and the lovely Virginia might object.

Might, hell.
Posted By firesisle firesisle | about 1 month ago
I think the Saudi's have finally seen the writing on the wall; they're not the only game in town anymore. Since the oil discoveries on the north shore of Alaska alone, the US has more, and better quality crude drilled, piped, and ready for production. When Saudi Arabia runs out of oil, they'll have nothing to sell but sand...

As far as carbon emissions go, however, they've decreased almost exponentially in the last 10 years or so, especially in the US, due to more efficient and cleaner automobiles, and because the worst offending vehicles are now gathering dust waiting to be crushed and recycled. 10 years ago when I drove up from Colorado Springs to Denver to work, I could see the "brown cloud" from 30 miles away... now I rarely even notice it.
Reported by Michael Rappaport
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