Breakeaven Oil Price - Towards The Collapse Of Saudi Arabia

Thierry Meyssan (Jan 11, 2016) - [...] The fall of the House of Saud may be provoked by a reduction in the price of oil. Incapable of reforming its life-style, the kingdom is borrowing hand over fist, to the point that according to financial analysts, it will probably collapse within two years. The partial sale of Aramco may temporarily postpone its demise, but this will only be possible at the cost of a loss of autonomy. The decapitation of Sheikh al-Nimr will have been the straw that broke the camel’s back. The fall of Saudi Arabia is now inevitable because there is no hope left for the people who live there. The country will be plunged into a mixture of tribal revolts and social revolutions which will be far more murderous than the previous Middle-Eastern conflicts.

Costs of Oil Production 2015 - Enlarge (Credits: Aargam)

Far from acting to prevent this tragic end, the US protectors of the kingdom are awaiting it with impatience. They continually praise Prince Mohammed’s «wisdom», as if encouraging him to make even more mistakes. Already in September 2001, the US Committee of the Chiefs of Staff were working on a map for the re-modelling of the «wider Middle East », which planned for the separation of the country into five states. In July 2002, Washington was considering ways of getting rid of the Saud family, during a famous session of the Defense Policy Board. From now on, it’s just a matter of time. Keep in mind: The United States have managed to solve the question of the succession of King Abdallah, but today, they are attempting to lead Saudi Arabia into error. Their objective is now to divide the countrry into five states. Wahhabism is the state religion, but the power of the Saud family, both interior and exterior, depends exclusively on Sunni tribes, while it subjects all other populations to apartheid. King Salman (80 years old) leaves the exercise of power to one of his children, Prince Mohammed (30 years old). The Prince has seized control of his country’s major companies, has declared war on Yemen, and has just executed the leader of the opposition, Sheikh al-Nimr." 

HERE

 According to the 2015 budget that Saudi Arabia’s King Salman bin Abdulaziz Al Saud unveiled on December 28, the Gulf state that is the symbol of oil producing and exporting countries will face a 367-billion-riyal deficit this year, which is about USD 87.0 billion. Saudi Arabia has never seen a budget deficit of such proportion; it is a historical record and equivalent to 15% of its gross domestic product (GDP). Saudi Arabia is directly and indirectly involved in four wars (Yemen, Syria, Iraq, and Libya) and is trying to make sure that the government of President Abdel Fattah el-Sisi in Egypt does not implode. In Syria, the Saudis are trying to overthrow President Assad and the costs have increased dramatically. On Saturday, January 16th the Saudi Arabia Tadawful stock index slumped 7% to its lowest level in five years after Brent oil fell below USD 29 a barrel. While all stock markets on the Arabian peninsula tumbled, the Iranian stock index gained one percent, making it one of the best performing markets in the world with gains of six percent since the start of the year (HERE).