Looks like Bush buddies, the Saudis, are thumbing their collective noses

[Bobbieo]

at us with their modest oil drilling increase.

Who needs enemies with friends like these?

[Jersey Ginny]

1. It is not clear that the Saudi's CAN increase output in any meaningful way

They are already injecting water into their oil wells, a sign that the wells are aging and are past peak.

[amandabeech]

3. As I have posted several times recently, much of the extra oil they are pumping cannot

be refined in many of the world's refineries. It is really low grade, thick as molasses in January, filled with stinky polluting sulfur and most refineries can't make much of anything with it.

And that's what the increased Saudi production is. Useless, at least right now. And they've priced it too high. Because, as you say, it's watering out, and production will decline at some time in the future. When is a matter of debate, as I suspect you know.

I've been following this for 6 years, and I don't think that they can do much better for any length of time.

Can they goose up the wells producing good stuff for a couple of months? Maybe, and we'll see in the fall.

I don't see prices staying below $3.00 for the long term, absent a very serious world-wide recession.

[babylonsister]

2. Sure does. The US is being laughed at; I wonder if other countries

are looking at this the same way?

[MadMaddie]

4. Don't you mean their middle finger!! It seems that all of * friends

are telling him to go jump off of a cliff!! Couldn't have happened to a more deserving ass.

[Bobbieo]

5. You folks are saying, in plain English,

the Saudis' are running out of oil!!!