Building a world of
resilient communities.

MAIN LIST

 

Saudis promise to open oil spigots

The Saudis say they can produce 11 million barrels of crude daily, The Journal said. Last month, the Saudis produced 9.5 million barrels a day to meet customers' needs, up from about 9.2 million barrels a day the previous month, The Journal said.

But as it approaches capacity, the Saudi output includes a greater percentage of medium and heavy-grade crudes that are less attractive to refiners whose plants are configured for light, low-sulfur crudes, The Journal noted.

The Saudis have operated at full capacity only twice in recent years, The Journal said, on the eve of the U.S.-led invasion of Iraq in 2003 and in 2004 after a series of hurricanes largely shut down operations in the Gulf of Mexico and production in Texas and Louisiana, which has the nation's largest concentration of refineries.

The Saudi offer comes as oil prices continue to surge, The Journal said, and the kingdom begins to worry that the increases could backfire on oil-producing nations later this year by slowing global growth.

OPEC has promised to produce more oil, but that move has had little effect on prices, The Journal said.

The Saudi vow to meet all orders goes well beyond the cartel's March decision to raise its output ceiling and sidesteps bickering among members over whether to raise the limit even further, The Journal said.

Editorial Notes: SM writes: Some peak oil commentators (Deffeyes and I think Simmons too) have suggested that OPEC opening up the taps to pump at capacity will be a strong indication that the peak is here.

What do you think? Leave a comment below.

Sign up for regular Resilience bulletins direct to your email.

Take action!  

Find out more about Community Resilience. See our COMMUNITIES page
Start your own projects. See our RESOURCES page.
Help build resilience. DONATE NOW.

 

This is a community site and the discussion is moderated. The rules in brief: no personal abuse and no climate denial. Complete Guidelines.

Tags:  

But What's the REAL Energy Return of Photovoltaic Energy?

According to a recent, comprehensive study of the scientific literature (1), …

Peak Oil Review - May 23 2016

 A weekly roundup of peak oil news, including: -Quote of the week -Oil …

This is Peak Oil

In the last press review of 2015 I asked if that had been the year petroleum …

Saudi Arabia is planning for the post-oil era, why not the United States?

The world's largest exporter of crude oil, the Kingdom of Saudi Arabia, …

The Other Fire: Fort McMurray's Slow Burn

At the end of the day the $10-billion wildfire that consumed 2400 homes and …

Peak Oil Review: A Midweek Update - 19th May 2016

 A midweek update. Oil prices hit new 2016 highs approaching $50 a …

How to Get your Apartment Off the Grid

The typical solar PV power installation requires access to a private roof …