The Chaos In Syria and Iraq Makes Sense If You Think Oil

Oil ( energy, including natural gas) is the lubricant that makes the world go around. Most wars, in recent history, have had, as one of several motivations, keeping the that lubricant flowing and making sure that control of the flow stays in friendly hands. For those willing to see, there is a plan behind the chaos that is reining across Syria and Iraq and the Middle East in general. It all has to do with who is going to be in control of the flow of energy from that vital region and equally important is who is going to be stopped from having control.

There is no shortage alternate news sources reporting on the fighting in Syria and Iraq and its relationship with the control of oil and gas from that region. The most creditable sources, in my opinion, come from a series of articles at Zero Hedge (ZH).

No doubt, you are aware that oil prices have been tumbling much of this year. All of the usual talking-heads have attributed the fall in oil prices to over supply due the ever increasing output coming from the good ol’ US of A and due to a general slow down in economic growth world-wide. There is no reason to deny the impact of these important factors. But, these ZH articles I’m going to link reveal something more sinister is taking place behind the scenes by way of secret pact between the US and Saudi Arabia.

ZH first reported on A Look Inside The Secret Deal With Saudi Arabia That Unleashed The Syrian Bombing on September 9, 2014. Here is a snippet:

That much is revealed by the WSJ today in a piece exposing the backdoor dealings that the US conducted with Saudi Arabia to get the “green light” to launch its airstrikes against ISIS, or rather, parts of Iraq and Syria. And, not surprising, it is once again Assad whose fate was the bargaining chip to get the Saudis on the US’ side, because in order to launch the incursion into Syrian sovereign territory “took months of behind-the-scenes work by the U.S. and Arab leaders, who agreed on the need to cooperate against Islamic State, but not how or when. The process gave the Saudis leverage to extract a fresh U.S. commitment to beef up training for rebels fighting Mr. Assad, whose demise the Saudis still see as a top priority.

It was clear to the folks at ZH what the US was bringing to the table. The US would once again be doing the Saudi bidding of fighting a war against Saudi’s enemies. What wasn’t clear was what the Saudis were bringing to the table.  That has now been cleared up in this article, Why Oil Is Plunging: The Other Part Of The “Secret Deal” Between The US And Saudi Arabia.

What normally happens when oil prices are depressed by over supply or world economic issues? The OPEC countries, dominated by Saudi Arabia, meet and announce they are reducing production in order to support oil prices. Not this time:

The full answer comes courtesy ofAnadolu Agency, which explains not only the big picture involving Saudi Arabia and its biggest asset, oil, but also the latest fracturing of OPEC at the behest of Saudi Arabia…

… which however is merely using “the oil weapon” to target the old slash new Cold War foe #1: Vladimir Putin.

To wit:

Saudi Arabia to pressure Russia, Iran with price of oil

Saudi Arabia will force the price of oil down, in an effort to put political pressure on Iran and Russia, according to the President of Saudi Arabia Oil Policies and Strategic Expectations Center.

Saudi Arabia plans to sell oil cheap for political reasons, one analyst says.

To pressure Iran to limit its nuclear program, and to change Russia’s position on Syria, Riyadh will sell oil below the average spot price at $50 to $60 per barrel in the Asian markets and North America, says Rashid Abanmy, President of the Riyadh-based Saudi Arabia Oil Policies and Strategic Expectations Center. The marked decrease in the price of oil in the last three months, to $92 from $115 per barrel, was caused by Saudi Arabia, according to Abanmy. 

With oil demand declining, the ostensible reason for the price drop is to attract new clients, Abanmy said,but the real reason is political. Saudi Arabia wants to get Iran to limit its nuclear energy expansion,and to make Russia change its position of support for the Assad Regime in Syria. Both countries depend heavily on petroleum exports for revenue, and a lower oil price means less money coming in, Abanmy pointed out. The Gulf states will be less affected by the price drop, he added.

The Organization of the Petroleum Exporting Countries, which is the technical arbiter of the price of oil for Saudi Arabia and the 11 other countries that make up the group, won’t be able to affect Saudi Arabia’s decision, Abanmy maintained.

The organization’s decisions are only recommendations and are not binding for the member oil producing countries, he explained.

Today’s Brent closing price: $90.

So, now you know what the puppet string pullers are really up to: keeping the energy flow in friendly hands and while placing enormous pressure on Russia and Iran to behave themselves.

One thing should be clear to you, dear readers. The economic squeeze on Russia and Iran via oil prices will have much more effect than all of the bombs being dropped. By the way, the OPEC country in which I live is in a state of panic over the falling oil prices. The article is in Spanish, but you can use Google Translate, if you are interested.

No one knows for how long oil prices will remain depressed so enjoy the lower prices while they last, my fellow Americans. After all, no one is more deserving than you American taxpayers. You are paying for the military expenses, which are huge. The net energy-consuming nations of the world thank you. The military-industrial complex thanks you. If oil prices stay down long enough, the democratically elected dictatorship where I live may fall, and many here will have you to thank if that happens.

Well, that’s what I’m thinking. What are your thoughts?

 

 

 

 

 

 

 

 

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12 thoughts on “The Chaos In Syria and Iraq Makes Sense If You Think Oil

  1. Your welcome to all. Glad to see such fruitful results from my hard-earned tax dollars. Here I thought they were just going down the drain for some earmark yet come to find out they really do make the world go ’round.

    Too bad low oil prices won’t force out our democratically elected dictators here at home.

  2. I follow the drift here. The intent may be to put pressure on Iran, and it might for the rational, but I don’t see my way clear that it will ultimately get the desired result for Iran. Iran knows what happened to Syria, Iraq and Egypt’s Dictators when they gave up or Israel blasted their Nuke program. They were toasted. Just my thoughts

  3. In my mind all is diversion. In the end only two entities determine Iran’s nuclear weapons future, Obama and the Israelus. Once the Israelis are bought off or pressured economicslly by the Obama led US, Iran gets the bomb in the end. Simplistic, yes but this is who we are today.

    1. The Saudis said today (Monday) that they have no problem keeping the oil price below $90 and maybe $80 per barrel for one or two years. Iran, I read in another article, needs a price of $117 to keep their government afloat. That doesn’t mean they won’t get the bomb, but it will be at a horrible price, if they do.

    2. The Saudis said today (Monday) that they have no problem keeping the oil price below $90 and maybe $80 per barrel for one or two years. Iran, I read in another article, needs a price of $117 to keep their government afloat. That doesn’t mean they won’t get the bomb, but it will be at a horrible price, if they do.

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