It is too late for OPEC to stop the shale revolution. The cartel faces the prospect of surging US output whenever oil prices rise


If the oil futures market is correct, Saudi Arabia will start running into trouble within two years. It will be in existential crisis by the end of the decade.


The contract price of US crude oil for delivery in December 2020 is currently $62.05, implying a drastic change in the economic landscape for the Middle East and the petro-rentier states {i.e Nigeria} .


The Saudis took a huge gamble last November when they stopped supporting prices and opted instead to flood the market and drive out rivals, boosting their own output to 10.6m barrels a day (b/d) into the teeth of the downturn.


Bank of America says OPEC is now "effectively dissolved". The cartel might as well shut down its offices in Vienna to save money.


If the oil futures market is correct, Saudi Arabia will start running into trouble within two years. It will be in existential crisis by the end of the decade.



Saudi Arabia is effectively beached. It relies on oil for 90pc of its budget revenues. There is no other industry to speak of, a full fifty years after the oil bonanza began. {Sounds familiar?)

http://www.telegraph.co.uk/finance/oilprices/11768136/Saudi-Arabia-may-go-broke-before-the-US-oil-industry-buckles.html

OPEC has been dead since forever.

Everyone now is producing oil. Thanks to improvements in extraction technology.

Nigeria should forget about oil. Oil is a curse.

let all Arab nations even go into bankruptcy not only saudi. so that terrorist will stop getting sponsors.God please touch there economy.

Propaganda

Hope dey don save during rainy days. If not, dey go knw say kaaki no be leather.

Uncle if you believe in this tale I pity you, Saudi Arabia broke in 2yrs. AMERICA WILL KNOW.

The fact is DAT Saudi Arabia can never get broke...check d holy Quran....

There is no way a cartel or empire would last for ever. Oil is now becoming a cheap commodity, the costliest part of the production cost is the technology and logistics not the product itself.
Almost all coaster nations has discovered oil, even the landlocked countries are discovering. Nigeria should look elsewhere for its funding. Unfortunately, we have relegated Agriculture to the back seat when we failed to invest during the oil boom period.

How can Saudi go broke when there are millions of impoverished ppl including Nigerians willing to spend their last card in Saudi Arabia in d name of pilgrimage?