Saudi king wants to boost oil output - AP

[Eugene]

Source: Associated Press

Saudi kings wants to boost oil output

By DONNA ABU-NASR, Associated Press Writer
16 minutes ago

RIYADH, Saudi Arabia - Saudi Arabia wants to increase its oil
production so it can meet domestic and international demand while
ensuring "fair" world prices, King Abdullah said Saturday.

Now pumping just over 11 million barrels a day, the kingdom is the
world's largest oil producer and the biggest supplier of petroleum
to the United States.

The king did not say how much Saudi Arabia might increase
production, but it has repeatedly said it was prepared to do so.
Last May, Oil Minister Ali al-Naimi spoke of raising output to 12.5
million barrels a day by 2009.

Abdullah said the kingdom was "seeking to increase its oil production
capacity so that it can meet its commitments for national growth
and the demands of the international economies."

-snip-

Read more: http://news.yahoo.com/s/ap/20070414/ap_on_re_mi_ea/saudi_king_1

[MADem]

1. There is a subtle difference between WANTS TO and IS GOING TO

What does he want from BushCo, and has BushCo signalled that they'll give it to him?

[bbinacan]

2. I thought Canada was the

biggest supplier to the US.

[IDemo]

3. just over 11 million barrels a day, hmmm

thought I'd heard earlier here or on The Oil Drum they were down to 9 Mbpd, or less.

[GliderGuider]

4. Who are you going to believe?

The king of Saudi Arabia, or your own lying eyes?

[NickB79]

5. Nowhere near 11 million barrels per day

The article is off by about 1.5 million barrels per day. That's pretty bad.

[GliderGuider]

6. The current (non-Saudi) estimate is that they're pumping 8.4 mbpd

That's 2.6 mbpd, or 25% below the king's claim of "over 11". It's also 33% below their claimed "target" for 2009. Pass the bong, Ahmed, that's some mighty fine camel-shit in there.

The Saudis are playing parsing games with the word "capacity". In their lexicon it appears to mean something like, "If 12.5 million barrels per day were to somehow seep into our bore-holes, our pumps are strong enough to get it all out, and our GOSPs could deal with it." That usage has nothing whatever to do with how much oil actually seeps into the bore-holes. They could build 100 million barrels per day of capacity, but they'd still only extract 8.5 million barrels of actual oil.

In other words, this is all PR bullshit.

[FogerRox]

7. Well said, I would add its looks like the KSA

oil production is declining at something like (IIRC)10% to 12% /annum.

[hatrack]

8. 11 million barrels per day? Where do they GET this shit?

Unbelievable.

[GliderGuider]

9. Apparently the King said "production capacity"

but the MSM heard "production". People haven't rumbled KSA's verbal shell game yet.

http://www.dailynews.com/news/ci_5670177

Abdullah said the kingdom was "seeking to increase its oil production capacity so that it can meet its commitments for national growth and the demands of the international economies."

[Javaman]

10. What I find really interesting and amusing about this is...

just last month moron* throws this bastard a birthday party and he doesn't show. then the saudi prick tells ricechecks to basically go screw herself, then abdula goes on to condemn our presence in iraq, doing the whole fire and brimstone thing to piss of the U.S. Why?

because later on, about a week later, in a very tiny article located on page 2057 of most local rags, it states, that the U.S. just sent billions in weapons and aircraft to the saudis.

Poof!!! all is well again, the saudi bastard cranks up the oil again and everyone is happy.

smoke, bullshit, mirrors and backroom blowjobs folks, nothing more.

[GliderGuider]

11. "cranks up the oil again"? I don't think so.

KSA production is down 8% or so over the last year, and as far as we know it's still declining. check the graph I put up in post #4. Whatever geopolitical games Abdullah is playing don't involve rewarding anyone with higher oil production.

[Javaman]

12. Oh I know it's declining, it's just funny how the saudis continue to hold us by the

balls to get what they want aka weapons.

I think they know that if moron* bombs Iran, the shit is going to hit the old fan over there and they want to save their own necks.

It's all relative anyway. 2 years ago $1.50 was the norm at the pump. now $2.50 is the norm at the pump. A year from now $4.00 will be the norm.

Their smoke and mirrors of "pumping more" is just for the headlines. They won't be pumping anything but salt water from their empty well.