Sep. 16 at 3:18 PM
$FANG Global oil crisis looms as supply disruptions create ripple effects
By Osama Bin Javaid
Reporting from Doha, Qatar
As you’ve seen since September 11th, that oil price has been rallying, it went all the way up to
$109 a barrel just yesterday. It’s settled down since, but it does give you a sense of the shock that the global economy is feeling, although that it is only four percent of the global oil supply.
As many analysts and oil giants are warning, this could lead us into the perfect storm of an oil crisis. You look at the global picture, there’s oil available. The Americans have a certain level of oil that they’ve been pumping, but it is not the right kind of oil. For Americans, it means that if you need to run your South Coast refineries, you will need heavy crude – that can either come from Canada, Venezuela, or Saudi Arabia. Saudi Arabia being the biggest supplier.
And that is why it is creating a ripple effect on energy prices globally.
