Saudi oil production soared to 10 million 500 thousand barrels / day. The surge in production began in the beginning of this year, is designed to cater to the domestic summer seasonal peak demand, and maintain its global market share.

Previously, once the summer demand weakened, Saudi Arabia will immediately cut the level of output, but this year is different. The country still maintain a high yield, and to accelerate the export in Iran and other countries, and the market share war pushed up production to new highs.

With Iran officials in the recent meeting, Saudi Arabia threatened if no agreement is reached, will further increase the production and export levels.

After the sinking of the oil city of Saudi Arabia to force other oil producers yield precedent. In addition to the current situation, dating back to 1998-1999 years, a large number of Saudi Crude oil supply into the market, against the Venezuelan adventurism, oil prices fell about $10 hit.

Before the hydraulic fracturing revolution, its damage to the production of the United States will always repair. This week, Saudi oil appears to have collapsed long is ready, said even in a no agreement, the market will achieve self balance again. This comment may have some truth, but need time to. Based on this, the oil price may have to wait until the end of next year will recover, especially with Iran, Iraq, Russia, Azerbaijan and other countries of production continued to increase, not to mention the US shale oil producers.

Wednesday (November 30th) later, everything will come to light. The oil market is likely to expose the ugly side, the price may be dropping earlier this year to reach $25 a barrel in the vicinity of the low.