T Nation

Saudi Arabia's


Shi'ite Muslims in the east of Saudi Arabia are staging a "Humayn" revolution on March 11th, calling it a Day of Rage in the predominantly Sunni Muslim country; Humayn is one of the central figures of the Shi'ite strand of Muslim faith, which gives you some idea of the scale of this. The House of Saud has already offered $27 billion worth of concessions and has drafted in an extra 10,000 security forces


IF this happens, and revolution happens and the House of Saud goes tits up we are so fucked it is not even funny. $200 a barrel if we are bloody lucky!


I'll bet that the second anyone gets out of control the Saudis will use extreme force. Next Friday will be very interesting.


This will be interesting...


So what's the US' take on this. Riots in Saudi Arabia.

Do we back the rioters like we did in Iran? or call for democracy? or back the Royal Family and the status quo?


SA just passed a law that made protests of any kind illegal, paving the way for tight security.



I hope the price of oil skyrockets. As long as oil is (relatively) cheap and the infrastructure is in place to import and distribute it, we will never switch to other energy sources. Jack up the price and suddenly you will see dozens of alternative energy projects in the US...meaning jobs in every sector from mining and construction to administration, advertising, and PR; domestic investment; and ultimately independence from the Middle East.


That is a very good point. When oil breaks a certain price thresh hold a lot of alternatives become much more "economically feasible".


Great point. It'll be a helluva bumpy ride though


x2. I agree with the high oil prices will push for alternate fuels but it will be a slow process Id assume and expensive at that. Or we could just go back to horse and wind powered boats...anyone?


True about the bumpy ride scenario, I completely agree. For me, though, better a bumpy ride now than a full head on collision later...

Plus, I'm thinking about going into a graduate school program focused on alternative energy sources, so there is a degree of selfishness for me there lol


So more people walking or cycling is now a bad thing?


Oil isn't relatively cheap.
It's only so for the U.S. because OPEC currently only takes dollars for petroleum as the reserve currency.
When the dollar collapses this special relationship we have of vendor financing with Saudi Arabia for oil will have come to an end.
At that point $200 per barrel will be cheap. However, the stranglehold of the Federal government on U.S. oil deposits will also collapse and American oil will be very cheap for the rest of the world priced in yuan, yen, etc...
We will be a net oil exporter at that point because no one here will be able to afford it while the rest of the world breaks free of the dollar reserve standard and enjoys the new wealth as a result.
We won't be developing any new energy sources we will just have to survive way below our current standard of living for some(indefinite) amount of time to recoup the productivity we've lost in the last 2-3 decades.
When petroleum actually does become scarce(and therefore more expensive temporarily) for the world again, the new(or existing, the government surely doesn't know which is best) technologies that substitute for petroleum will make their way to the U.S. to aid in our recovery.


The price of oil not withstanding, these mid eastern upheavals are necessary. What cannot happen is the oppressive regimes of the middle east, sponsors of terror (presumably to jack up the price of oil), and all kinds of mean nasty things that they do, can not remain indefinitely. If the people of those countries want to revolt, let them. This may be what it take to get peace in that region. Of course, it can backfire, so who knows...I know this, it's historic.
We, U.S., have lots of untapped reserves, we just need to go get them.


I've come to believe that anyone who makes predictions about the future by speaking in certainties is a fool.


Rally? Is this a slight at me for being a fool?
You're the idiot who admitted that you'd benefit directly from alternative energy project.
So jack up the the oil prices so American's can get jobs fixing the energy problem.
In the meantime you should hope we have a comparably damaging earthquake to the one in Japan in the U.S. so American's can be put to work cleaning that up also.
Then we can just start breaking windows at random so people can be employed fixing them.
Sound good?
Oh wait never mind, that's not why you're going to a heavily subsidized public school to do as a profession. We should just hope that capital and resources are wasted or miss-allocated for your own particular endeavor.
My bad.


Aren't higher oil prices going to hurt nearly every single existing job? Unless you telecommunicate/don't have a physical plant that needs to be heated, are not a restaraunt or kitchen, you are going to be feeling quite the pinch with increased oil prices.

I mean I'm all for alternative energies but yikes.


Prices are supposed to go down and alternatives come in to play when the alternatives are cheaper naturally. Jacking up the price of oil will do it for sure, but it is a much worse option then letting it happen naturally.