Now, imagine we had banned fracking, and 5 million BPD of Saudi oil went offline for an extended period of time. I can’t even imagine where oil prices might end up under that scenario.
In any event, regardless of how bad this turns out to be, it highlights a major vulnerability that will probably bring back a fear premium to the price of oil. There aren’t that many oil vulnerabilities around the world capable of sidelining millions of barrels a day of crude oil, but the Abqaiq crude processing facility is certainly one of them.
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Author: Robert Rapier
Robert Rapier is a seasoned chemical engineer with three decades of international experience in the energy sector. He holds undergraduate degrees in chemistry and mathematics, and a master’s in chemical engineering. Robert has worked extensively in oil refining, production, synthetic fuels, biomass energy, and alcohol production, earning several patents along the way. As Editor-in-Chief of Shale Magazine and a prolific author for Investing Daily, he shares his expertise through various newsletters and his latest book, American Energy: A History of Power, Progress, and Change. Robert's insights have been featured on 60 Minutes, The History Channel, CNBC, and PBS, among others. His articles have appeared in top publications like the Wall Street Journal, Washington Post, and The Economist. For nearly a decade, he has covered the energy sector for Forbes.
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