Felling Pharaohs (Part VI): The Beatings Continue Because Morale Has Not Improved

Saudis Deploy Forces to Northeast in Preparation for "Day of Rage", Source: The Independent

A little over a month ago in the midst of Egyptian unrest, I warned that U.S. policy-makers should “be very afraid” of these developments because of their impact on crude oil prices.

Now that Libya is in flames, its oil output has fallen by at least one million barrels per day from 1.6 million since the uprising began. While this amount of production is small compared to total global production, it has nevertheless had an impact in pushing up crude oil prices. April crude oil contracts reached $106 per barrel on markets in Asia on Monday, and London futures contracts for Brent crude reached $117.20 a barrel.

Libya is not the only problem. The Saudi leadership is quietly holding its breadth for the upcoming March 11th “Day of Rage.” It is not only holding its breadth, it is deploying up to 10,000 of its security personnel to its northeastern provnces, where Saudi Arabia’s large Shia population dwells.

The key question now is: what will President Obama do if the Saudis massacre their own people? The United States’ reliance on the kingdom’s spare oil capacity is critical for its economic recovery and the prosperity of the American people. But is letting hundreds, if not thousands, of people get slaughtered worth this price?

This could be one of those key moments in a President’s administration when he must choose between the broader interests of humanity and America’s vital national interests.

I do not envy his choice.

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About Sean Patrick Hazlett

Conservative clean energy crusader, national security hawk, financial analyst, engineer, and former military officer.
This entry was posted in Clean Energy, Defense, Energy Security, Finance and Economics, International Security, Middle East, Policy, Politics, Predictions and tagged , , , , . Bookmark the permalink.

2 Responses to Felling Pharaohs (Part VI): The Beatings Continue Because Morale Has Not Improved

  1. D.I.D. says:

    This is the first non-dogmatic and rational analysis of the situation in the Middle-East I have yet encountered. Every other American site seems to cleave into irrational and dogmatic “left” and “right” wing camps…

    • Thank you, D.I.D., for visting my site and for the compliment.

      I spent 7 years of my life at very liberal universities. As such, my views have been well-forged in the fires of debate and I learned very quickly that for people to take me seriously, it is far more effective to ground my arguments in pragmatism rather than in partisanship.

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