and reality is;
Russia showcased its position as the global swing producer of oil during the peak of the Covid crisis, particularly when Saudi Arabia at the behest of the USA, engaged in an unsuccessful price war with Russia. Saudi Arabia just about went belly up like a dead goldfish, floating in the fish tank…
Thus we learned that when oil prices fall to approximately anywhere below $60 per barrel, US producers cease to be profitable and are compelled to reduce their output and actually compelled to cease to exist. At around $50 per barrel, Saudi Arabia’s national budget begins to face sustainability issues and soon they also will cease to exist. We will not even touch the quality issue of modern US oil, without heavy crud to mix with. It resembles diesel fuel rather than actual raw oil…
In contrast, Russia demonstrated its ability to operate with prices around $30 per barrel and from my understanding, it can go to $11 per barrel. This is not a joke and the USA got slapped hard and are continually coming back for more…
All the oil that is presently produced globally is purchased by someone out of necessity rather than preference. Oil is what drives the world and without it we cease also to exist at our modern levels…
The sole method for anyone to cease purchasing Russian oil would be to acquire oil that is currently being sourced from other suppliers. That is a paradox…
Oil is what drives the world and even your Electric Vehicle (EV) is completely driven by oil, real oil, thick, black and is in everything everywhere. No oil? No EV…
This shifting sands in the oil industry results in a supply deficit in those “other” markets, which will ultimately be compensated for by, as you might expect, “Russian Oil”. Always remember, no alternative available…
~~ How dare those damn Russians! ~~
Russia accounts for actually 15% of global oil production. It is impossible to halt the worldwide consumption of Russian oil without driving prices above $200 per barrel, and at such a price, Russian oil will re-enter the market, no matter what anyone says. This ongoing game of imposing tariffs on Russian oil will have limited impact on Russia and China, but it will create significant challenges for other nations, particularly those allied with America…
The East will be oil rich, as the West becomes oil poor. Actually you have heard me be very consistent about resources and that the West is out of basic resources…
All to plan I guess?
Why else does the West shoot itself in the foot constantly?
WtR