Saturday, March 5, 2011

March 11 -- Will Middle-Eastern Oil Production Crash?


As we approach the March 11, so-called "Day of Rage" some activists have planned for Saudi Arabia, an uncomfortable question emerges. Given that two governments in that region have already fallen, a third appears to be toppling and massive protests are supposedly planned in Saudi cities for the 11th, one has to ask: Will the Saudi government fall? Will overall oil exports from the Middle East crash, potentially down to nothing?

Given the rapid pace at which events are moving in the Mideast, having a contingency plan in place for an energy crash -- for your country, your business or just your family -- seems like a very wise idea.

Clearly, I'm working something a bit more extensive than my previous Southeastern Fuel Shortage disaster plan. But however far along my book is in the next few days, I'm looking at releasing an early, rough draft so that anyone who wants to include it in their planning can do so.

But in the meantime, even that simple discussion of a much more limited crisis covers some important points, and prudent strategists will want to consider what vulnerabilities they have to contend with and what resources they could bring to bear in the event of fossil fuels, in particular oil, suddenly becoming much harder to come by.

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