The shale oil and gas revolution happening in America isn’t sitting well with certain middle eastern oil barons:
(CNSNews.com) – Saudi Arabia’s Prince Alwaleed Bin Talal, a billionaire businessman and nephew of Saudi King Abdullah, said the production of shale oil and natural gas in the United States and other countries, primarily done through fracking, is a real competitive threat to “any oil-producing country in the world,” adding that Saudi Arabia must address the issue because it is a “matter of survival.”
New shale oil discoveries “are threats to any oil-producing country in the world,” said Prince Alwaleed in an interview with The Globe and Mail. “It is a pivot moment for any oil-producing country that has not diversified. Ninety-two percent of Saudi Arabia’s annual budget comes from oil. Definitely it is a worry and a concern.”
Alwaleed also commented that many Saudi leaders did not comprehend the threat posed by oil and natural gas production from shale. However, he said he would use his influence to keep pressing the issue.
“I will make them get it, there is no doubt about that,” he said. “I’ll make them get it. It is a matter of survival. There is no choice but to get it. I will keep pushing until they do.”
It’s easy to understand why this guy is worried. American oil production has skyrocketed:
As US oil production has increased, oil imports have declined:
I’m for free international trade of all goods and services, including oil, but it makes me happy to see the resurgence of US oil production take the Saudis down a peg.