10/11/2014 by Tyler Durden
Two weeks ago, we revealed one part of the “Secret Deal” between the US and Saudi Arabia: namely what the US ‘brought to the table’ as part of its grand alliance strategy in the middle east, which proudly revealed Saudi Arabia to be “aligned” with the US against ISIS, when in reality John Kerry was merely doing Saudi Arabia’s will when the WSJ reported that “the process gave the Saudis leverage to extract a fresh U.S. commitment to beef up training for rebels fighting Mr. Assad, whose demise the Saudis still see as a top priority.”
What was not clear is what was the other part: what did the Saudis bring to the table, or said otherwise, how exactly it was that Saudi Arabia would compensate the US for bombing the Assad infrastructure until the hated Syrian leader was toppled, creating a power vacuum in his wake that would allow Syria, Qatar, Jordan and/or Turkey to divide the spoils of war as they saw fit.
A glimpse of the answer was provided earlier in the article “The Oil Weapon: A New Way To Wage War“, because at the end of the day it is always about oil, and leverage.
The full answer comes courtesy of Anadolu Agency, which explains not only the big picture involving Saudi Arabia and its biggest asset, oil, but also the latest fracturing of OPEC at the behest of Saudi Arabia…
… which however is merely using “the oil weapon” to target the old slash new Cold War foe #1: Vladimir Putin.
Saudi Arabia to pressure Russia, Iran with price of oil
Saudi Arabia will force the price of oil down, in an effort to put political pressure on Iran and Russia, according to the President of Saudi Arabia Oil Policies and Strategic Expectations Center.
Saudi Arabia plans to sell oil cheap for political reasons, one analyst says.
To pressure Iran to limit its nuclear program, and to change Russia’s position on Syria, Riyadh will sell oil below the average spot price at $50 to $60 per barrel in the Asian markets and North America, says Rashid Abanmy, President of the Riyadh-based Saudi Arabia Oil Policies and Strategic Expectations Center. The marked decrease in the price of oil in the last three months, to $92 from $115 per barrel, was caused by Saudi Arabia, according to Abanmy.
With oil demand declining, the ostensible reason for the price drop is to attract new clients, Abanmy said, but the real reason is political. Saudi Arabia wants to get Iran to limit its nuclear energy expansion, and to make Russia change its position of support for the Assad Regime in Syria. Both countries depend heavily on petroleum exports for revenue, and a lower oil price means less money coming in, Abanmy pointed out. The Gulf states will be less affected by the price drop, he added.
The Organization of the Petroleum Exporting Countries, which is the technical arbiter of the price of oil for Saudi Arabia and the 11 other countries that make up the group, won’t be able to affect Saudi Arabia’s decision, Abanmy maintained.
The organization’s decisions are only recommendations and are not binding for the member oil producing countries, he explained.
Today’s Brent closing price: $90. Russia’s oil price budget for the period 2015-2017? $100. Which means much more “forced Brent liquidation” is in the cards in the coming weeks as America’s suddenly once again very strategic ally, Saudi Arabia, does everything in its power to break Putin.
Subsea 7 S.A. has announced the award of a three-year $160 million contract extension by BP Exploration & Production Inc. for light subsea construction, inspection, repair and maintenance services in the US Gulf of Mexico.
The contract will run from the second quarter 2014 to the third quarter 2017. The scope covers the provision of two vessels, including a dedicated vessel on a full-time basis, associated project management and engineering support, ROV-based inspection and intervention, and light construction work.
One of the vessels to be utilized in the contract is a new-build offshore subsea construction vessel while the other is a light construction vessel. Both vessels will be chartered on a long- term basis.
John Evans, Subsea 7′s Chief Operating Officer, said: “We are very pleased to have been awarded this important contract extension and to be able to continue growing our valued relationship with BP. This award highlights our proven track record for safely delivering successful Life-of-Field operations.”
Press Release, May 01, 2014
April 30, 2014
by Simon Black via Sovereign Man blog,
Steve Jobs used to tell a very inspiring story about an article he read in Scientific American when he was a boy:
He said that the article measured the ‘efficiency of locomotion’ of various species– essentially how many calories different animals spend getting from Point A to Point B.
The most efficient of all? Not human beings. Not by a long shot. It was the condor. The condor expended the least amount of energy per meter or kilometer traveled. Human beings were pretty far down the list.
But as Jobs recounts, the authors had the foresight to also test the efficiency of a human being on a bicycle. And this absolutely blew all the other species away.
Jobs later said that this was incredibly influential on his thinking because he realized that human beings were fundamentally tool creators. We take our situation, however grim or rudimentary, and we make it better.
There’s undoubtedly a lot of bad news in the world these days. Some people realize it. Others refuse to believe it and stick their heads in the sand.
Our century-old monetary system is unraveling before our very eyes.
This absurd structure in which we award a tiny central banking elite with the dictatorial power to control the money supply in their sole discretion is now drowning the world in paper currency.
ALL financial markets are manipulated by central banks, predominantly the Federal Reserve. One woman– Janet Yellen– has the power to affect the prices of nearly everything on the planet, from the wholesale price of coffee in Colombia to the cost of a luxury flat in Hong Kong.
Moreover, politicians in some of the most ‘advanced’ economies in the world (Japan, the US, France, the UK, etc.) have accumulated so much debt that they have to borrow money just to pay interest on the money they have already borrowed.
They have indebted generations who will not even be born for decades.
They wage endless, costly wars. They spy on their citizens. They tell people what they can and cannot put in their bodies. They confiscate private property and wages at the point of a gun.
They abuse the population with legions of heavily armed government agents. They conjure so many codes, rules, regulations, laws, and executive orders that it becomes nearly impossible for an individual to exist without being guilty of some innocuous, victimless crime.
And they arrogantly masquerade the entire ruse as a free society.
This system is on the way out. It will reset.
Like feudalism before, our system will go the way of the historical dust bin. And future historians will look back (just as we view feudalism) and say “why did they put up with that nonsense…?
This reset is nothing to fear. Human beings are incredible creatures who have a long-term track record of growth. We rise. We progress.