This time these sleazeballs may have finally gone too far. An OPEC spokesman says the West's pursuit of biofuels could cause the cartel to cut its investment in new oil production, driving the price of oil through the roof. From the Financial Times:
"Abdalla El-Badri, secretary-general of the Organisation of the Petroleum Exporting Countries, said the powerful cartel was considering cutting its investment in new oil production in response to moves by the developed world to use more biofuels.
"The warning from Opec, which controls about 40 per cent of global oil production, comes as the group of eight leading industrialised nations meets on Wednesday with climate change at the top of its agenda. The US and Europe want to use biofuels to combat global warming and to strengthen energy security.
"Mr El-Badri said this meant the biofuel strategy championed by Mr Bush and European leaders would backfire because 'you don’t get the incremental oil and you don’t get the ethanol'. In this case, he warned, oil prices would go 'through the roof'.
"He said Opec members had so far maintained their investment plans but he warned: 'If we are unable to see a security of demand...we may revisit investment in the long-term.'”
Hey George, sound like it's time for a little more regime change?
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