BBC News – Why is Saudi Arabia using oil as a weapon?.
A recent meeting in Vienna, between the member states of Opec finally uncovered what the world had expected for months.
Saudi Arabia is playing politics with oil, forcing Opec to maintain its current production levels at 30m barrels per day, to force down the price.
Consequently oil prices have fallen 35% in 2014, tipping under the $70 mark for the first time since May 2010.
The question is why the Saudis would risk the goodwill of other Opec members, simultaneously emasculating the organisation and undercutting their ability to use it in the future to serve their interests.
It is a game of high-stakes poker and in the long run will cause the Saudis some harm, but that is not where their immediate thoughts lie.
Since the first oil shocks following the 1973 Middle East War, the Saudis have understood the role they can play in regional and world affairs by turning the taps on and off.
But recently, as the US upped its production, it would have been reasonable to assume that Saudi would have correspondingly cut surplus supply to maintain a healthy balance sheet.
But instead Riyadh has done the opposite.
From Riyadh the world looks a grim place, and the Saudis have a host of concerns that they feel are not being addressed adequately, either by their allies in the West or by their partners in the region.
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