Drudge Retort: The Other Side of the News
Sunday, March 22, 2020

Nawaf Obaid: When Saudi Arabia, OPEC's de facto leader and most influential member, decided at its latest meeting in Vienna to break its recent strategic oil partnership with Russia and adopt a new policy to maximize production levels, oil prices crashed -- posting their biggest slide since the Gulf war in 1991. Crown Prince Mohammed bin Salman has finally decided to pursue a long-term policy that not only preserves and ultimately increases the kingdom's market share, but also may signal the end of OPEC as a united functioning organization.

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Good!

We can keep ours ... lets buy there's on the cheap.

Where the Russians at?

#1 | Posted by AndreaMackris at 2020-03-21 04:44 PM | Reply

Where the Russians at?

Where my bitches at?

#2 | Posted by YAV at 2020-03-21 04:49 PM | Reply | Funny: 3

All this winning is making me sick!

Wait. No. I am not sick! Honest!

I am fine. Really. Please don't quarantine me.

#3 | Posted by donnerboy at 2020-03-21 10:25 PM | Reply | Funny: 2

Saudi Arabia holds about 25% of the world's oil reserves, about 70% of global spare production capacity, and it is the world's largest crude exporter by a large margin.

Yawn. Last year the story was Saudi was running out of oil and was going to go broke.

#4 | Posted by REDIAL at 2020-03-21 10:44 PM | Reply

George W. tried to kill OPEC, too, using Iraqi's oil. (Remember that?) It didn't work. BIG OIL told George W. to "stuff it!" ~ picked up their briefcases and went back home.

As neocon activist, Bill Crystal, said after the "Big Fail" "We just needed someone a little smarter."

#5 | Posted by Twinpac at 2020-03-22 08:03 AM | Reply

Somebody correct me if I'm wrong, but I think almost all oil goes onto the world market, including ours.

If everybody doesn't agree to the glut, the price of oil doesn't change very much per barrel.

#6 | Posted by Twinpac at 2020-03-22 08:14 AM | Reply

REDIAL

"Yawn. Last year the story was Saudi was running out of oil and was going to go broke."

Isn't that the story we heard during the rationing of the '70's, too?

#7 | Posted by Twinpac at 2020-03-22 08:17 AM | Reply

Yes. Peak Oil, the data set excluded supply expansion from new drilling tech.

#8 | Posted by sitzkrieg at 2020-03-22 08:28 AM | Reply

Drastic move by the Saudis. They are losing on every front to Russian backed Shia forces. Their only hope is oil and Covid wrecking Irans very old theocratic leadership.

#9 | Posted by sitzkrieg at 2020-03-22 08:30 AM | Reply | Funny: 1

Their only hope is oil and Covid wrecking Irans very old theocratic leadership.

#9 | POSTED BY SITZKRIEG

COVID 19 is the great equalizer. It does not have any political preference.

Covid is likely to wreck the plans of a lot of old leaders. I know one old leader who is having serious problems already and he hasn't even caught it.

Yet.

#10 | Posted by donnerboy at 2020-03-22 04:15 PM | Reply

"Somebody correct me if I'm wrong"

Ok.

Now you done it.


You done gone and activated the goatman signal.

#11 | Posted by donnerboy at 2020-03-22 04:19 PM | Reply | Funny: 1

Never waste a crisis. Covid helps SA. They just shifted to a younger leadership. Covid will help kill off the much more conservative old guard there, and hurt their enemies worse.

#12 | Posted by sitzkrieg at 2020-03-23 07:50 AM | Reply

Lol... Saudia Arabia "won control" seems to imply this is good for them. It is not.

OPEC was SA's baby. The end of OPEC is a big blow to them.

They may claim they are doing this to bankrupt other producers, but that won't do anything. Yeah... some investors will lose money when they go bankrupt. But the wells will still be there (idle). Someone will own them. And, if the price of oil gets high enough to make them profitable again, those well will start pumping again.

SA is just trying to maximize their profit. The more oil they pump, the more cash they get. Even if they are getting less per barrel overall. This drop in prices has them terrified that they will run out of money.

It is a move of desperation.

#13 | Posted by gtbritishskull at 2020-03-23 10:05 AM | Reply

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