The ENRON Scandal Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Non-Tech : The ENRON Scandal

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Mephisto who started this subject	9/15/2002 7:07:26 PM
From: Mephisto	Read Replies (1) of 5185

Oil Prices and the Drums of War The New York Times September 15, 2002 nytimes.com By KENNETH N. GILPIN The following is an excerpt: Q. So even if there is a war with Iraq, you don't see prices spiking much from here? A. I think upside price risk is very controllable. The case of an uncontrollable upside would be if Saudi Arabia were unwilling or unable to increase production. But the odds of that happening are very, very long. I am not a Middle East expert, but I don't imagine the Iraqis have had a lot of money to upgrade their missiles. Right now Iraq is just not producing that much oil. They are pumping 700,000 to 800,000 barrels a day. A decade ago, they were at 3.5 million barrels a day. The Saudis, who have the capacity to pump an additional 4 million barrels a day above their current production level, have pledged to make up the shortfall if Iraqi oil becomes unavailable. Q. Would oil prices soften if there were a change in government in Iraq? A. It will take a long, long time for Iraq to gear up production. At best, they could keep production flat for two years. Then they could start to grow it a bit. They have huge reserves. nytimes.com

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next