Initially the Saudis said last week, that they were going to produce more
oil,..then on Bush's visit, this week, they said no.
It costs the Arabs $1.50 to fill a barrel, which then costs $128 delivered
from the tanker!?. Not a bad little earner. Just how much money do the young
saudi princes need to fund their lifestyle?

Jason

Jason James wrote:

Oh for the good ol' days when Aramco really was an acronym for Arabian
American Oil Company! ;-)

"Jason James" peace.com> writes:

The cost of fuel is too cheap here in Australia and most definitely in the
USA regardless of what else is going on as at the rate we're using it, the
sort of availability we are used to now won't last more than about 20 to 30
years into the future, especially if our usage continues to climb at the
rates it's going.

So what goes on with the Saudi princes really doesn't make much difference
as they're just facing off with the USA over production targets. You need to
look at the oil industry like the diamond industry, since both use very
similar approaches to controlling supply of product so that prices at the
wholesale level are always kept inflated but not too inflated.

"John_H" inbox.com> wrote in message
news:mcsr2491ig5hmn31cqhln39hu6b61efjsg@4ax.com...

delivered

young

"Saab C900 Viggenist" lios.apana.org.au> wrote in message
news:g0kujq$abe$1@yoda.apana.org.au...

Jason James wrote:

In fact their price is almost exactly the same as ours... before tax.
Much the same goes for the rest of world, except for those places that
subsidise it.

The real question is... who's driving the price ATM (for those of us
who happen to believe in the laws of supply and demand)?

The real answer is... probably not the yanks, or us!

Yep, must get awful hard to live with those laws of supply of demand
when you're not the ones who's driving 'em. ;-)

"Bob Hawke" bigpond.com> wrote in message
news:u2pXj.1668$IK1.75@news-server.bigpond.net.au...

It's been higher than that for quite some time already!

MrT.

On May 17, 5:45 pm, "Mr.T" wrote:

i thought the figure was closer to $100 per barrel.

the point is though, that the saudis have, through their vast
reserves, the power to control the global price. anyone who was
willing to spend $billions tooling up shale oil drilling/extraction
facilities and refineries would be completely at the mercy of the
saudis not to start producing more oil, which would lower the price
and make shale oil uncompetitive. in other words, the saudis and OPEC
hold the aces.

"Mr.T" writes:

And if the Yanks are going to start mining oil shale you can bet we'd see
serious moves made to re-start the Australian oil shale industry. That'll
really impress the locals up at Glen-Davis and Newnes when they get told the
big mining companies are taking over their towns. 8-)

Craig.

Exactly, rather than the Saudis, I'd point the finger
at OPEC, an organization that is 75%% muslim.

"the fonz" gmail.com> wrote in message
news:67e3e624-fdfd-47a1-94d1-8ca46e5536e0@w8g2000prd.googlegroups.com...
On May 17, 5:45 pm, "Mr.T" wrote:

i thought the figure was closer to $100 per barrel.