Quote:
Originally Posted by Pete F.
I think the Saudis have a very good idea of what they are doing. They can produce at a lower cost and do not require the revenue in the short term. Other producers will have serious issues with their need for revenue and will likely have their control of the resource disrupted. Think Venezula, Russia, Iran. Of course it will also help our military/ industrial complex.
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You are absolutely correct. Just was watching the money channel while having lunch and it costs the Saudis $10/barrel to get oil out of the ground. US and Canada were around $40 and Brazil was the most expensive at $70/barrel.