The mainstream media is desperately trying to trumpet some kind of colossal Biden success following his visit to Saudi Arabia. However, in reality, the Saudis mocked the bumbling 76-year-old mercilessly, insulted him to his face, and sent him on his way empty-handed.
The Biden administration bragged that after his visit to Saudi Arabia, the Arabs promised to increase oil production by as much as 50%. If only that was true, it would be a triumphant victory for the beleaguered Biden. The Saudis would flood the market with oil, skyrocketing prices would collapse …
But there is just one problem. The fact is that not all oil production in Arabia will increase by 50%, but the increase in production planned for the summer will increase by 50%. It’s tricky wording, but I will explain.
As part of the OPEC + agreement, the Saudis already planned to increase production in June and August by 171,000 barrels per day. That is, now they will increase production not by 171, but by 171+85 (+50%) thousand barrels. These 85,000 additional barrels are all that Biden managed to negotiate.
Is 85,000 barrels a lot in the grand scheme of things? Considering that the Gulf states produce approximately 12 million barrels per day, 85,000 barrels is an increase of much less than 1%. And that’s just counting the barrels produced by the Gulf states.
In total, the world produces about 100 million barrels of oil every day. Even if the Saudis throw another 85,000 barrels on the market, these “Biden barrels” will represent less than 0.1% of the market. It’s like pouring a bucket of water into an Olympic swimming pool. Technically, there is an increase. But in reality, this increase will not be felt by the world in any significant way. The pain we are all experiencing at the pump will not end. Skyrocketing prices will not be bought back to earth.
The United States alone is extracting an additional 1 million barrels from strategic storage facilities every day. Every day! But even this measure has not brought down the price of oil and fuel within the United States.
What will a paltry 85,000 thousand barrels achieve? This is pure mockery from the Saudis. The fact the US mainstream media is trumpeting a Biden victory is laughable.
Why did the Saudis receive Joe Biden so badly? Three years ago Joe Biden vowed to make Saudi Arabia a “global pariah” over the assassination of dissident journalist Jamal Khashoggi. But it goes deeper than that.
Suffice it to recall that Trump was received like a king. He was given a whole hotel (not a floor in a hotel, like Biden). Honors were given.