Talks on oil prove inconclusive.
The Organization of Petroleum Exporting Countries (OPEC) got bogged down in conflicts when seven of its members decided to keep production rates the same. Libya, Algeria, Angola, Ecuador, Venezuela, Iran and Iraq took a bold and uncompromising stance on this final decision. The Saudis were hopeful that they could convince the other members to lift production but ultimately the talks proved futile.
“We were unable to reach an agreement” spoke Ali Al-Naimi, the Saudi Minister for Petroleum and Mineral Resources. The fact that the deal is off comes as somewhat of a blow for other countries who were sick and tired of skyrocketing fuel prices. Crude oil has risen from $1.42 per barrel all the way up to $118.20 which speaks volumes in itself. The International Energy Agency made a statement to the affect that: “OPEC members today were unable to agree on the need to make more oil available to the market.
The cartel that is OPEC is known for using oil as a weapon. The first embargo came almost four decades ago when Shah Faisal boycotted the West for taking Israel’s side and increased the rate per barrel thereby making Saudi Arabia very rich in the process.