August 11, 2004

COMMODITY PRICES DON'T GO UP:

Saudis Say Trying to Cap Oil Price (Heba Kandil, 8/11/04, Reuters)

Top world oil exporter Saudi Arabia on Wednesday confirmed it had raised output sharply over the past three months in a bid to prevent high prices damaging world economic growth.

Saudi Oil Minister Ali al-Naimi said Riyadh had averaged 9.3 million barrels per day (bpd) of crude during that period in a bid to cool world prices and vowed to raise supplies to meet any extra demand.

"The kingdom of Saudi Arabia, in collaboration with the other OPEC countries, endeavors to ensure the stability of the international oil market and prevent prices from escalating in a way that may negatively effect the world economy or oil demand," the minister said in statement carried by the state press agency SPA.


All other things being equal, the Kingdom has a vested interest in the administration that takes fighting terror seriously.

Posted by Orrin Judd at August 11, 2004 3:21 PM
Comments

They have a vested interest in making oil exploration look unprofitable, is what they have...

Posted by: mike earl at August 11, 2004 3:47 PM

I'm sure that's it... and it explains why they put so much money into solar energy research, too.

They're also going to have a lot of sun to mine for longer than they have oil to drill. Which in itself is only about 70 years of easy lifting.

Posted by: John at August 11, 2004 5:17 PM
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