Aggravated With OPEC

May 15, 2009  
Filed under Random

       Did you enjoy the extra low gas prices the last couple of months? Finding this cheap gas was due to the value of oil falling last year from 150 dollars per barrel to a mere 35 dollars per barrel. This fall was a result of the recession and overinflating oil prices. Savor the prices while you can because the prices are obviously back on the rise! Prices are rising largely due to increasing demand for oil. This demand comes from oil production companies such as OPEC cutting back production to limit the supply of oil. On December 17, 2008, OPEC had a meeting to discuss oil production cuts. The companies decided to cut back the production by an enormous 2.2 million barrels a day. OPEC is cutting back on the supply to help raise the price of oil in hopes of reaching the value of seventy or eighty dollars per barrel. This will make gas prices go back up to around three dollars a gallon. OPEC is the largest oil production organization in the world controlling forty percent of the world’s total oil, and also the largest supplier of oil in America.  There’s not much we can do about it, so start saving your money to pay for your gas.

By: Brandon Rabon

Haley Grainger