Saudi Arabia threatens to sell its oil using other currencies instead of the dollar if Washington approves a bill against OPEC members. If the Saudi abide by their threats, they will be able to bring down the US economy, various experts say.
Today, the US Congress is considering the Bill Against Oil Production and Export Posters (NOPEC), which after approval will pave the way for the US to sue OPEC member states. for his attempts to reduce oil extraction to raise oil prices, Reuters reports.
Sources linked to Saudi Arabia's energy sector told the agency that Riyadh's threats have been shaken in recent months by various senior officials in the country. Two sources said that the Saudi counter-measure had been addressed during an interview with OPEC members. An interlocutor from the office reported that Riyadh had already sent his threat to US officials.
"The Saudis know they can use the dollar as a & # 39; nuclear weapon & # 39;" one source told Reuters, who wanted to remain anonymous, while another stressed, "Now the Saudi & # 39; say s: "allow Americans to approve NOPEC and it will collapse in the US economy".
In her article for the Russian version of Sputnik, Russian journalist Natalia Dembínskaya emphasizes that Washington cannot ignore this threat from Saudi Arabia. The author recalls that the major buyers of oil, in particular China and the EU, also argue for a reduction in the use of the dollar in international trade. Russia and Iran have already shown their willingness to sell their oil in yuan and euros and have entered into similar agreements.
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"If Saudi Arabia, which controls one-tenth of the world's oil production, also refuses to use the dollar, the global positions of the US currency will be completely undermined," the journalist says.
Moreover, Dembínskaya emphasizes that this move will affect Washington's ability to influence world trade and will almost completely diminish the effectiveness of its economic sanctions imposed on other countries.
BP's director, Bob Dudley, believes that OPEC plays a crucial role in stabilizing oil prices. According to Dudley, the discussion about NOPEC could have serious and unpredictable consequences on the world oil market. When this bill is approved, the world will "stumble overproduction and the collapse of prices," the businessman says.
The oil minister of the United Arab Emirates and former president of OPEC, Suhail Mohammed Al Mazrouei, shares this view of Dudley and believes that if NOPEC becomes a law, the oil cartel will stop working.
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"American companies specializing in the production of shale oil simply go bankrupt if oil costs less than $ 50 a barrel." Analysts calculated that the possible closure of OPEC will lead to a collapse in oil prices comparable to the oil price. it was lived in 2013 and in 2014 when Brent dropped to $ 30 a barrel, "concludes Dembínskaya.