Can you imagine what would become of the arrogant, terror financing, Wahhabi Saudi royal family if they ran out of oil? Seriously, besides exporting oil and terrorism, does Saudi Arabia have any beneficial, redeeming global purpose or value?
While the world remains transfixed by the Egyptian revolt, a crisis with equally profound global consequences is quietly brewing elsewhere in the Middle East: WikiLeaks this week released U.S. diplomatic cables suggesting that Saudi Arabia may have vastly overstated its oil reserves — if true, that could dramatically accelerate the arrival of the long-feared “peak oil” moment, when oil production hits its final high before slowly declining, keeping prices rising for the foreseeable future and slowing global economic growth. But not all industry analysts are convinced by the claims in the cables.
The diplomatic cables from the U.S. embassy in Riyadh between 2007 and 2009 cite a former senior executive of Saudi Arabia’s state-run Aramco oil company as revealing to American officials that the country’s official estimate of 716 billion barrels of oil reserves is, well, hogwash; the real figure is about 40% lower than that, according to the oil executive, Sadad al-Husseini, a geologist who until 2004 headed Aramco’s exploration department — a seemingly impeccable source. WikiLeaks released the four cables on Tuesday.
WikiLeaks cable: Saudi oil estimates may have been exaggerated
WikiLeaks: Saudi Arabia Overstated Its Oil Reserves
WikiLeaks: Saudi oil reserves overstated
WikiLeaks cables: Saudi Arabia cannot pump enough oil to keep a lid on prices
Saudi Oil Reserves and the WikiLeaks Chinese Whispers Effect
Wikileaks gives a boost to peak oil theories UPDATED
Is Saudi Arabia running out of oil?
The Truth Behind Saudi Arabia’s Oil Supply
Ex-Saudi Oil Executive: “Oil Reserve Data is False”
Oh sure, it’s still going to be a while before the Saudis run out of oil and their country reverts back to being just another third world [expletive deleted]hole, but now that day might be coming almost twice as soon as previously estimated.
/of course, we can hasten the onset of Saudi irrelevance if we can use our technology to develop substitutes for their oil
Filed under: Blog Entry | Tagged: Aramco, Aramco Oil Company, Crisis, Diplomatic Cables, Egyptian Revolt, Exploration Department, Exporting, Foreseeable Future, Former Senior Executive, Geologist, Global Economic Growth, Hogwash, Industry Analysts, Long-Feared, Middle East, Official Estimate, Oil, Oil Company, Oil Production, Oil Reserves, Peak Oil, Profound Global Consequences, Quietly Brewing, Riyadh, Sadad Al-Husseini, Saudi, Saudi Arabia, Saudi Royal Family, State-Run, Terrorism, Transfixed, U.S. Embassy, Vastly Overstated, Wahhabi, Wikileaks, World | Leave a comment »