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Originally Posted by Brian Swartz
Do you think that would do anything more than just kick the can down the road? If so, why? We are going to be heavily dependent on oil for decades, way beyond the point where it will be available the price and quantity we need. By we, I mean both the United States and the world.
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I can't speak for the world, but for US we are on the cusp (famous last words) of greatly reducing our oil needs with EVs. Get me the Tesla 2 for $25k with a range of 300 miles + quick charging stations everywhere, and there'll be a mass adoption.
I'm hoping/guessing that'll take 10 years.
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I think the time when this kind of deal would make a lot of strategic sense was at least 20 years ago at a minimum, and probably further back. We're too close to the end of cheap oil for it to be a good idea now.
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This deal isn't primarily for cheap oil. I'd put that third behind 1) stability in the region including keeping Iran in check and 2) deflecting China's influence in the region.
On the next tier down including 3) cheaper oil prices, I'd also toss in 4) helping out an ally in Israel 5) reducing the leverage other oil frenemies have on us and 6) arguably good for American business.
The primary con is we are "obligated" to help defend SA. We have & are already doing it, so not sure how much more incremental stuff there'll be.
I want to read all the details on what the security obligations will be. But this does seem to be headed in the right direction.