- In this scenario, time is running out for Saudi Arabia’s free-spending royalty and state– and for all the other free-spending oil exporters.
- The discovery of new oil fields has fallen far below global consumption.While there are numerous dynamics at work in the turmoil roiling Saudi Arabia and by extension, the Mideast, one way to cut to the chase is to follow the oil, follow the money. Correspondent B.D. recently posited afactor that has been largely overlooked in the geopolitical / fate-of-the-petrodollar discussions:
- Perhaps the core dynamic is a technical one of diminished oil production. Here is Bart’s commentary:
- “I think the Saudis may be quickly running out of profitable oil to produce/export.
- I think they tried to over-produce for a while to damage the competition… and they now have production issues resulting from that. (As has happened in the past)
Read more at:Mideast Turmoil: Follow the Oil, Follow the Money