Watching the World: The world energy dilemma

As much of the world heads towards increased confrontation with Iran, one of the questions that will naturally arise is whether the loss of Iran’s oil supplies can be made up elsewhere. Saudi Arabia’s Minister of Petroleum and Mineral Resources Ali I. Al-Naimi last week restated his country’s oft-repeated pledge to meet market demands as concerns rise over the possibility of reduced supplies due to sanctions against Iran. Al-Naimi is highly conscious that his pledges often fall on deaf ears. Indeed, aware that some analysts doubt Saudi Arabia’s ability to sustain output levels of over 10 million b/d, Al-Naimi no longer gives them the time of day. “We don’t take experts’ view into consider...

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