OPEC Leader Khelil Says Dollar Will Drive Oil to $170

OPEC Leader Khelil Says Dollar Will Drive Oil to $170

www.bloomberg.com

une 28 (Bloomberg) -- OPEC President Chakib Khelil predicted that the price of oil will climb to $170 a barrel before the end of the year, citing the dollar's decline and political conflicts.

``Oil prices are expected to reach $170 as demand for fuel is growing in the U.S. during the summer period and the dollar continues to weaken against the euro,'' Khelil said today in a telephone interview. The leader of the Organization of Petroleum Exporting Countries also serves as Algeria's oil minister.

Political pressure on Iran and the depreciation of the U.S. currency have caused a surge in oil prices, Khelil said. New York- traded crude has more than doubled in a year and touched a record $142.99 a barrel yesterday on the New York Mercantile Exchange.

OPEC ministers generally say that oil output is sufficient, even as Saudi Arabia, the biggest producer, pledged to pump an extra 200,000 barrels a day next month to calm the market. ``The market is completely supplied,'' Venezuelan Oil Minister Rafael Ramirez said yesterday. Libya announced possible production cuts, calling the market oversupplied.

The rising cost of crude is not linked to supply, Khelil said today. ``There is more than enough oil in the market to meet the international demand,'' added the OPEC president, who will take part June 30 in an international energy forum in Madrid.

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The market is really going to love that tomorrow.

$170 a barrel!!! What would that work out to, $7 or more a gallon gas?

If true a lot of people are going to be pushed over the edge, the price of food will go through the roof and many in the northeast, where oil is the predominate winter fuel will go without this winter.

www.bloomberg.com
(visit the link for the full news article)

thank god someone posted this. ive been trying to tell people that the rise in oil is because of the weakness of the dollar but everyone wants to believe the mainstream media spin.

heres the whitehouse press secratary adressing the subject.

www.youtube.com...

its nice to know that washington is fully of people like her that will sell the rest of us down the economic river so she can have a cushy job.

i say get ready for $200 oil
maybe $300
i dont know it all depends on how low the dollar can go
and this is one game of limbo i dont want to see!

Yes its a weak dollar but the oil companies are using it as cover to enron the American people to force congress to allow them to drill anywhere they want to.

Well I hope this bit of news prods the Democrats to get off their duffs and open up ANWR for drilling, as well as offshore in California, Florida, and other places. Then let's get started in Colorado and the midwest states extracting that shale oil.

Ten years from now we can thumb our noses at OPEC.

reply to post by jsobecky


but opec isnt exploiting us...

there is plenty of supply to meet demand. if the dollar was as strong as it was in 1999 we would be paying $1.00 a gallon for gas again.

we are doing this to ourselves. and by we, i mean the criminals at the treasury dept and federal reserve who refuse to take a strong stand on the dollar because it would force emporor georgie to stop blowing metric buttloads of cash on stupid pointless empire building bull crap.

reply to post by jsobecky


In the long run that is a dead end response and would only supply a short term and false sense of security.

We need to be developing alternative ways of doing things yesterday. And, in that everything has to be on the table including the end of the automobile as we know it and massive public transportation systems.

reply to post by grover

Originally posted by grover
reply to post by jsobecky

 

In the long run that is a dead end response and would only supply a short term and false sense of security.

We need to be developing alternative ways of doing things yesterday. And, in that everything has to be on the table including the end of the automobile as we know it and massive public transportation systems.

No, it is an interim step. In ten years, hydrogen power should be advanced to the point where it is cheap and reliable. We do not have to give up our love affair with the automobile.

Masssive public transportation would mean huge gov't involvement and massive costs. To fund it would require taxes levels that approach socialism.

reply to post by jsobecky


So by your argument if we start drilling now so we can thumb our noses at OPEC but at the same time hydrogen cars will be here.

No matter how you cut it even if you started drilling yesterday it won't help us for years to come if at all.

reply to post by grover




The fact that the first gas won't reach the pumps for a number of years is even more reason to start drilling today. It is absolutely not a good reason to delay drilling.

Hydrogen cars are here today, in their infancy. I posted a thread yesterday about the first gas station supporting hydrogen cars opening in California. As with all new technology, the cost is currrently fairly high, but that is bound to drop over time.