Hello, Bakken. Goodbye, OPEC. The latest report from North Dakota’s state oil and gas division showed that crude oil production for March is back up over a million barrels a day, an increase of nearly nine percent since December and almost double what the state produced five years ago, dooming OPEC's clout in the oil industry.

On May 25, OPEC oil ministers will meet in Vienna to decide whether or not its present oil-output-cut agreement should be extended. Either way, OPEC’s doom as the prime determiner of world crude oil prices is likely sealed.

It's comforting to note that TransCanada, the owner of the pipeline, still thinks the project is economically viable after all these years of delays.

With low oil prices hurting Saudi Arabia's ability to pay off its welfare obligations, Fitch Ratings downgraded Saudi Arabia’s credit rating again on Wednesday, bringing it perilously close to “speculative,” from “investment grade.”

 

A self-imposed economic trap has sprung on OPEC-leading Saudi Arabia, making it apparent that American technology has for all practical purposes ended the OPEC cartel. 

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