CB,I don't agree with the highlights in your previous post ...i....

CB,
I don't agree with the highlights in your previous post ...

i. Your highlights start off with "U.S. set to overtake Saudi Arabia as world's biggest oil producer following boom in output"

... and later says by 2013 ... this is not possible

ii. "U.S. production to rise 7 per cent this year to nearly 11 million barrels a day"

... The US produces nothing like 11 million barrels of oil per day. Their peak production many years ago was 9.6 million barrels per day. Current production is around 6.5 million barrels per day.

iii."Could reach 11.4 million barrels a day in 2013 - rivalling Saudi oil output"

... not possible; certainly not in the next ~ 10 years

iv. "Boom caused by high oil prices and new drilling techniques"

... and they neglect to mention "production costs" ... the Saudi's as a 'swing producer' have in the past increased production or decreased production as they see fit to maintain global pricing. US production costs are significantly higher than the Saudi costs of production. OPEC can 'price fix' crude ... and will do so if they see their markets being eroded.

Its a rubbish article ... (probably released/designed to manipulate thinking ... and consequent investment)


all IMHO