The Great Molasses Flood
What if the terrorist had been successful last Friday in their attack on Abqaiq, the world’s largest oil processing facility? Abqaiq (some spell it Abiqaiq) is located at the southern end of the Abqaiq oil field about 25 miles west of the Arabian Gulf.
The immediate $2.00 price per barrel rise after the attack is an indicator. The price went up even though production was not interrupted. The world would have gone into panic mode if the attack were successful. The price of oil would have made last year’s oil price swindle look like the “good old days.”
Al-Qaida claimed responsibility for the attack geared to drive the infidels out of Saudi Arabia. They will be back, possibly by air as with the WTC Towers. Mortar, rocket, or artillery fire could raise havoc.
Oil facility attacks by terrorist have been far more successful in Iraq. The Iraqi oil lines are long and exposed and easy to disrupt. Iraq oil production is continually hampered.
It’s good the Abqaiq attack failed. If it had succeeded, in light of that production has already been curtailed in Iraq by terrorist and Venezuelan Dictator Hugo Chavez has threatened to stop oil shipments to the U.S., a movement by greedy oil companies to put oil prices completely and permanently out of sight would be as unstoppable as the great molasses flood.
For those who don’t know about the Great Molasses Flood in which on January 1919, a wave of over 2 million gallons of molasses swept through Boston, killing 21 and injuring 150, see http://www.snopes.com/horrors/freakish/molasses.htm.
I salute the Saudi guards that stopped the attack and offer condolences to the families of the two guards that died from wounds suffered during the fire fight.
When Will the Dinar Revalue?
Everybody is expecting a revaluation for the Iraq money. Revaluation is the term used to indicate an increase of value for certain currency. And because of this expectation, the people who have been investing in Iraqi Dinar are growing in numbers.
There have been lots of disputes and arguments regarding the possible revaluation of Iraq’s currency. There are a group of people who are not convinced that the country will recover from a great loss but there are also some individuals who have predicted that the currency of Iraq will rise if given enough time. So, when will the Dinar revaluation specifically be if there is any? We are still uncertain but we can observe some events which are currently happening in Iraq.
To answer the puzzling question we have, we may try to observe the current situation and events happening in Iraq over the last few years from the war it had with its former government. If we can determine its activities for a couple of months or years, we may be able to gather some inclinations and hypothesis about the possible revaluation of Iraq’s currency. The events might help us draw conclusions regarding the anticipated Dinar revaluation.
The first event that gives hope to the currency’s revaluation is the lifted sanctions and the approval of the Iraq’s Parliament for the second term of Prime Minister Nouri al-Maliki. A new government leader means a new hope for change. This can be a good indication for a more liberal government for Iraq. And a liberal government can be a great indication of open foreign investments.
The second event that motivates lots of Dinar investors is the signing of contracts between oil companies and other neighboring nations with Iraq for expected oil reserves. And oil can be a great factor for a country to boom in its economic status. Oil is a worldwide demand that can be a great door for Iraq’s economic growth. Oil reserves means expanding resources and spreading industrial opportunities.
And lastly, Iraq has started participating in international market and foreign trades in developing its oil wells and some undiscovered oil reserves. If there is foreign involvement in the stock exchange then a boom in the economic status is to be expected. For Iraq, this could mean opportunity and to foreign investors this could mean another pot of gold.
Because of these ongoing possible events happening in Iraq, more and more people are driven to the possible revaluation of Iraq money. Although the New Iraqi Dinar is not yet openly traded in the international currency exchange market, its revaluation is highly expected. These positive events have been the strongholds for Dinar investors for the anticipated phenomenon that they call as Dinar revaluation.
We may not know the exact date of Iraq’s currency’s revaluation still, with all the positive and promising events happening in Iraq we can draw a conclusion that its increase in value is not far. Dinar investors can be confident in their venture. And maybe, we can venture in this promising opportunity as well.