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Saudi Arabia To Boost Oil Production 2%

From the anti-ANWAR lobbyists at the Associated Press:

The Saudi Aramco oil facility in Dammam city, east of the Saudi capital Riyadh.

Saudi Arabia to Boost Oil Production

Monday, Jun. 16, 2008

(RIYADH, Saudi Arabia) — Saudi Arabia plans to increase its oil production by 200,000 barrels a day next month, the kingdom’s oil minister told U.N. chief Ban Ki-moon on Sunday, according to Ban’s spokesman…

Farhan Haq, a spokesman who is traveling with Ban, said in an e-mail that the U.N. chief said al-Naimi told him Saudi Arabia would increase oil production by 200,000 barrels a day from June to July. In May, the kingdom increased its production by 300,000.

By July, production should be at 9.7 million barrels a day, Haq said…

"The king believes that the current oil prices are abnormally high, and he is ready to restore prices to their appropriate levels," SPA quoted Ban as telling reporters in Jiddah…

Saudi Arabia is concerned that sustained high oil prices will eventually slacken the world’s appetite for oil, affecting the kingdom in the long run.

The 200,000-barrel-a-day boost is not insignificant — it will raise Saudi Arabia’s daily production by about 2%. But to a market that has been sending oil prices soaring to record heights due in part to strong global demand, the move might be seen as marginal…

Of course a million barrel a day boost from drilling ANWAR is insignificant.

But luckily for our media we are still doomed. From the Chicago Tribune:

Oil hits record; even Saudis can’t save us

by Frank James

June 16, 2008

Well, so much for Saudi Arabia’s plan to lower world oil prices by promising to produce more oil.

Crude oil futures rose to nearly $140-a-barrel before deciding that it had scared the bejesus out of everyone and settling at closer to $137 in trading today.

Today’s new record, coming as it did after the Saudis vowed, late last week, to pump more oil in an effort to send oil prices lower, showed that even the nation with the world’s largest known oil reserves has limited marketplace power…

And the only thing that will save us is higher taxes.

This article was posted by Steve on Monday, June 16th, 2008. Comments are currently closed.

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