Posted on 12/30/2014 5:45:50 AM PST by thackney
Algeria’s oil minister on Sunday called on OPEC to cut production and raise the price of oil, which has plunged dramatically in the last six months.
The call by Youcef Yousfi to the Organization of Petroleum Exporting Countries, of which Algeria is a member, comes as the country is struggling to deal with a halving of oil prices from $120 barrel to $60 a barrel.
“For us, OPEC has to intervene to correct the imbalance and cut production to bring up prices and defend the income of its member states,” Yousfi said in remarks carried by the state news agency.
While Algeria has some $200 billion foreign reserves, enough to cover imports for the next several years, it is heavily dependent on its oil revenue which provides 97 percent of its hard currency income and 60 percent of the budget.
...60 percent of the jobs in the country come from the government...
Eat your oil.
So sad for algeria. So sad.
In my opinion, they will have a tough time selling this to the Saudi’s.
The message from Saudi Arabia is clear: It has the capacity to sustain in a weaker oil-price environment.
The Arab Gulf crude-producing giant late last week unveiled an expansionary budget for 2015, projecting expenditure at a record high despite running a wider deficit as revenues from hydrocarbon sales fall....
But for now, the message in the Saudi budget remains the same — it can withstand lower oil, and won’t sacrifice market share to stem the slide in crude prices.
Hey Algeria! Here’s an idea:
Invest in some other type of industry other than oil and jihad.
Unfortunately, it’s sad for American oil producers, too.
We will all see the price of gasoline rising…….
To control the price of gas you control the supply. Thus is the price of gas being manipulated by the powers that be. The socialists need the price of gas to be temporarily lower to ameliorate the rising cost of health care due to the mandating of socialized medicine in the us.
The powers that be? Who is that? It is a commodity. Like gold, grain, etc...
The powers that be = the bankers aka Goldman Sachs, the Fed, etc. I think if the American Socialist movement spearheaded by Obama et al needed a temporary reprieve from high gas prices to ease the onset of socialized medicine, such would be arranged for them.
God Bless and good luck to you.
Bears repeating. I live for the day we charge Saudi Arabia $120 for a bushel of corn or wheat and start getting back the hard earned dollars the illegal OPEC cartel stole from us.
I have read a study that having vast natural resources that are in demand actually HURTS a country and its people in the long run. Compare and contrast Japan and Singapore with Argentina and Saudi Arabia.
I can see some truth to that. “Easy money” flows in from selling resources while other needed development and variety of development (e.g. manufacturing) lags. And then, eventually...the resources run out.
I would agree with that assertion only if the natural resources are controlled by the government. If they are in private hands, there is no curse.
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