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(Washington Times) S. Fred Singer - Under the most extreme scenario of a new regime arising in Saudi Arabia that is unfriendly to the U.S., world oil prices could rise to $65 a barrel, about $40 above the present price -- at least for several months, until demand moderates and new supplies come on line. The impact would be devastating for developing nations, but the price rise would have little effect on the U.S., raising the price of gasoline at the pump by only $1 a gallon and hardly affecting the price of electricity, which is mostly produced by coal, nuclear, and hydro. In case of such a takeover and major price jump, the affected world community may feel compelled to "liberate" the wells of Arabia and restore production, declaring the oil resource to be the "Common Heritage of Mankind." 2002-05-14 00:00:00Full Article
Saudi Oil: How Strategic?
(Washington Times) S. Fred Singer - Under the most extreme scenario of a new regime arising in Saudi Arabia that is unfriendly to the U.S., world oil prices could rise to $65 a barrel, about $40 above the present price -- at least for several months, until demand moderates and new supplies come on line. The impact would be devastating for developing nations, but the price rise would have little effect on the U.S., raising the price of gasoline at the pump by only $1 a gallon and hardly affecting the price of electricity, which is mostly produced by coal, nuclear, and hydro. In case of such a takeover and major price jump, the affected world community may feel compelled to "liberate" the wells of Arabia and restore production, declaring the oil resource to be the "Common Heritage of Mankind." 2002-05-14 00:00:00Full Article
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