Saudi Arabia will save us!! Plus, for a limited time only, an interesting theory about Russian abstention..
Well, according to this article OPEC production is down 850,000 bp/d in March.
CGES: Oil Prices To Remain Above $100 Without OPEC Action
imarketnews.com
Only weaker oil demand, driven down by slower global economic growth due to the Japan earthquake, could bring oil prices down, it said...
"Production in February was estimated at 29.85 million bpd and is now down at around 29 million bpd," the report said.
So about one million barrels per day of Libyan oil is off line and OPEC production is down by 850,000 barrels per day. That means someone, Saudi perhaps, has increased production by 150,000 bp/d.
Ron P.
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” But why did Russia abstain?” IMO Here is why: So that the West can attack Libya, thus pushing the oil prices up and Russia- the largest exporter- can make more badly needed money. Now that the attack is on and oil prices are moving up, he wants to make sure that when the things calm down and Ghadafi survives (and he most probably will survive) Russia gets the first choice to get the lucrative oil contracts as well as arms sale, construction… And, if by any chance Ghadafi does not survive, this Russian tactic would not change the “New” Libyan government’s attitude towards Russia anyway. Make sense? |
