Friday, September 29

Iraq Energy Update

More Iraqi citizens are getting electricity. Upgrades and reconstruction to Iraqi oil fields has made it possible to pump up to 2.5 million bpd of oil, however estimates say they are only pumping less than 1.9 million bpd. About 1.5 million bpd below pre 1990 levels. For a little perspective, Saudi Arabia pumps over 9 billion bpd.

Saudi Arabia also has a large reserve now, which my friends on the right would say, "supply and demand will then force the price of oil to go down." Which it has to the tune of $17 a barrel since July. Hmmmm?!? You don't think, no, no way. But it is kind of odd how the closer we get to election time, the more stable oil gets and the less you hear about Iran ending the known world with nukes. I know it is two years later, but do you think this offer still stands?