Attack on Saudi Arabian oil facility could increase U.S. gas prices
LA CROSSE, Wis. (WKBT) — On Saturday, Saudi Arabia lost half of its oil production over the course of a few hours in a drone strike.
The attacks left five million barrels of oil per day out of production, that means oil prices could go up.
“I guess I just have to deal with it.”
La Crosse resident Mary Althoff doesn’t fill up too often, but isn’t happy about the possibility of paying more.
“There’s not much I can do about it.”
Saudi Arabia is the world’s second largest oil producer, their loss could mean drivers will have to pay 10-25 cents more per gallon according to some experts.
“Decrease in supply means prices will go up,” said UWL Economics Professor Taggert Brooks.
Brooks expects the prices to rise, but does not expect them to skyrocket just because of this attack.
“We are in a position we weren’t previously which is to say we are now a big producer of oil, the largest in the world.”
Because there is more oil being produced worldwide, the attack won’t be increase the price as much as it could have in the past. But it’s the aftermath of the strikes that Professor Brooks is cautious of.
“Is this the only attack that’s going to happen? Are there other attacks that are going to happen? Is this going to affect the global oil markets? It’s not just this attack but it’s the other things that might happen that we’re worried about.”
“I don’t think they’ll go to five dollars. I hope not,”projected Althoff.
She hopes the prices don’t skyrocket, but as of now won’t let the prices get between her and where she wants to go.
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