Saudis Rebuff Bush As Oil Hits New High

President's Appeal For Increased Oil Production Again Rejected; Price Of Crude Tops $127

(CBS/AP)  President Bush's second stab this year at getting oil-rich Saudi Arabia to increase production and drive down the soaring gasoline prices hurting U.S. consumers appears to have again failed.

Saudi Arabian leaders made clear Friday they see no reason to increase oil production until their customers demand it, apparently rebuffing Mr. Bush, the White House said.

During Mr. Bush's second personal appeal this year to King Abdullah, Saudi officials stuck to their position that they are already meeting demand, the president's national security adviser told reporters.

"What they're saying to us is ... Saudi Arabia does not have customers that are making requests for oil that they are not able to satisfy," Stephen Hadley said on a day when oil prices topped $127 a barrel, a record high.

The Saudi government indicated that it is willing to put on the market whatever oil is necessary to meet the demand of its customers, Hadley said.

But even then, he said, Saudi leaders say increased production would not dramatically reduce pump prices in the United States.

When Mr. Bush met with King Abdullah in mid-January, the president asked Saudi Arabia to raise production to ease high prices at the pump. Mr. Bush got a chilly response to his plea. The kingdom said it would increase production only when the market justified it, and that production levels appeared normal.

The president said he'd ask again for more oil, but he and the king are much more likely to talk about Iran, CBS News senior White House correspondent Bill Plante reports. The Saudis share a real concern over Iran's nuclear ambitions and they wish the U.S. would do something about it.

When Air Force One landed in the Saudi capital on Friday for his one-day visit, the president got a red carpet welcome on the tarmac and was warmly greeted by Saudi leaders as a military band played the U.S. national anthem, slightly off-key.

Mr. Bush was spending the day with Abdullah at his horse farm outside Riyadh, talking mostly out of public view over three tea services and two meals.

The White House says the president's visit is intended, in part, to celebrate 75 years of formal U.S.-Saudi relations. It will mark the conclusion of several agreements, laying out intentions to cooperate on nuclear energy, infrastructure protection and nonproliferation. But the rising price of oil undoubtedly will overshadow the talks.

Mr. Bush concedes that raising output is difficult because the demand for oil - particularly from China and India - is stretching supplies. Besides, any production hike might not lower prices that much. Some economists say those prices are being driven up by increased demand, not slowed production.

Mr. Bush's visit to Saudi Arabia, which has the world's largest supply of oil, comes a day after Congress voted to temporarily halt daily shipments of 70,000 barrels of oil to the nation's emergency reserve. Mr. Bush has refused to stop pouring oil into the Strategic Petroleum Reserve, saying the stockpile was meant for emergencies and that halting the shipments would have little or no impact on gasoline or crude oil prices.

It's a move that Democrats have sought for the past year to increase supply and apply downward pressure on prices. With an eye to the November election, the Senate sent the measure to the president Wednesday night without a single GOP objection. The White House has indicated that Mr. Bush will sign the reserve measure.

Also, as Mr. Bush prepared to leave Washington, Senate Democrats introduced a resolution that would block $1.4 billion in arms sales to Saudi Arabia unless Riyadh agrees to increase its oil production by 1 million barrels per day. The Democrats said they introduced the measure to coincide with Mr. Bush's trip to send a message to Saudi Arabia that it should pump more oil to reduce the cost of gas for Americans.

High energy costs are a major drain on the U.S. economy, which is experiencing a slowdown that some think is already a recession. Oil prices are nearly $125 a barrel and gasoline threatens to go to $4 a gallon this summer.

Anthony Cordesman, a security analyst for the Center for Strategic and International Studies, said Abdullah may produce something "simply because it's good manners," but nothing that would have a significant effect.

"U.S. influence over OPEC and Gulf oil production is diminished," he said. "It's not clear what the incentive is to Saudi Arabia. We can't deliver on (Mideast) peace. We can't deliver on arms transfers. We can't deliver on the Iraq that Saudi Arabia wants. We are raising problems in terms of Iran. And the reality is the market isn't being driven by us; it's being driven by China, by India, by rising Asian demand."

Jon Alterman, director of the CSIS' Middle East program, said the Saudis, with a public that doesn't like Mr. Bush and a ruling monarchy with growing interests elsewhere, are not likely "to put themselves out to help this president."

"The Saudis don't have an alternative to keeping the U.S. in its corner, but their reliance on the United States, their confidence in the United States is extremely shaken," Alterman said.

Besides wanting to discuss oil, Mr. Bush is paying his second visit to Abdullah this year - on top of a stop by Vice President Dick Cheney in Saudi Arabia in March - to talk about his goal of achieving an Israeli-Palestinian peace deal before he leaves office. Saudi Arabia's immense power in the region means that its backing of Palestinian President Mahmoud Abbas and any concessions he will have to make is key.

The Saudi-American relationship began in the 1940s with a simple bargain: Saudi Arabia offered oil in return for U.S. protection. The United States became the kingdom's biggest trading partner and the Saudis became the biggest buyers of U.S. weapons. Many Saudis sent their children to American schools.

But over the years, issues arose.

Saudis, like other Arabs, feel Washington leans unfairly to Israel's side in the dispute with the Palestinians.

And Saudi-U.S. ties took their hardest hit after the Sept. 11, 2001, attacks, in which 15 the 19 airline hijackers were Saudis. Americans blamed Saudis for allowing the religious extremism that gave rise to the hijackers. Though anti-terror cooperation has been relatively strong since, Saudis still smart from what they feel are unfair accusations.

[runningralph]

President Bush can prod all he wants. OPEC has other agendas. Fuel costs in the US are of no concern to OPEC.

[gopack443]

If they want "protection" from Iran guess they just have to up oil production, kind of the same deal as when Saddam was in power and Saudi was afraid of him. But as soon as w removed THERE enemy they no longer needed America and the rest is history.

[byeneocons]

It seems like Bush, Cheney and the Arab Oil Club should all be trading high fives over a job well done... on the American people.

Bushie, you''re doing a heckuva job!

[antoniof123]

It won''t matter the saudis can increase oil production but it will not help. There aren''t enough refineries to change it from oil to gas. Looks like the neo cons really screwed up on this one. NO wonder the saudis told bushbot you miss managed your economy.

Blood bath coming and there is nothing you neo cons can do.

[singingrick]

Bush has reduced the U.S. to begging for mercy. Oh how fare the mighty fall.

[libh8er]

Technically, Bush is now meeting with terrorists, himself. Wonder how he can reconcile this with his speech from Israel?

[sgtrds-e4]

He''s there to pick up his kickback and bribery checks in person.

[inventagod2]

Didn''t those guys bring US 9/11???

***???

[libh8er]

''He''''s there to pick up his kickback and bribery checks in person.''

He must be picking them up for Clinton....old Billy Boy has made more $$$ off the Saudis than Bush ever will.

[incog-nito]

Hey! Bush finally pretends to do something. Whaddayaknow!

[ioweign]

He''s there to pick up his kickback and bribery checks in person.

Posted by SgtRDS-E4 at 09:46 AM : May 16, 2008

His safety deposit box is the size of a two bedroom house...

[briannorwood]

Bush on his knees before the Saudis. I guess he''ll find out what they wear under those robes!

[bon_jovi_jov]

@LibH8er

at least oil price was not as high a it is now.

and economy was not so screwed up as it is now.

[harp1963]

http://www.cbsnews.com/stories/2004/01/09/60minutes/main592330.shtml

[libh8er]

at least oil price was not as high a it is now.
and economy was not so screwed up as it is now.
Posted by bon_jovi_jov at 09:57 AM : May 16, 2008

What''s your point? Neither of those are Bush''s fault. At least try and be fair. The economy is cyclic. Bush hasas much control over oil prices as Nancy Pelosi does.....which is to say, none.

He can ask the Saudis to increase production, but the last time he asked, they told him to out an egg in his shoe and beat it.

Don''t like paying high prices for gas? Thank an environmentalist and liberal democrats who jumped in bed with them. It''s only going to get worse.

[roger_inkart]

Thanks to his failed and poorly-thought out policies the US president now, again, has to go grovel at the feet of the Saudis - the nation where most of the 9/11 terrorists were born.

[tawpdawg11]

What would increase in production accomplish? Is there a shortage? Is the corner U-Stop out of gas? Can''t get fuel in your city? Yeah, right ....BIG production boost needed. There''s so much oil pumpin the US has even been filling our reserve to the brim. Its all just for show.

[roger_inkart]

Thank an environmentalist and liberal democrats who jumped in bed with them.

Posted by LibH8er at 10:07 AM : May 16, 2008

Gee, and all that time that the GOP controlled the Senate, House and the Presidency it was the environmentalists and liberal Democrats who were in control? Wow.

If that is the case, then Republicans are just a bunch of p.ussies, no? How did they let themselves be dominated by those who weren''t even in majority for most of that time?

Yes, conservative dimwit, keep telling yourself this comforting lies. It certainly beats facing the truth, no?

[roger_inkart]

When people go to the polls angry, they tend to vote that way. Seeing as there has been a Republican president the last 7+ years, people will vote against the party.

Bush is radioactive, and the dems will be able to make this fall''s election ALL about him. Your party is going to get creamed even worse than 11/06.

[ioweign]

at least oil price was not as high a it is now.
and economy was not so screwed up as it is now.
Posted by bon_jovi_jov at 09:57 AM : May 16, 2008

What''''s your point? Neither of those are Bush''''s fault. At least try and be fair. The economy is cyclic. Bush hasas much control over oil prices as Nancy Pelosi does.....which is to say, none.

He can ask the Saudis to increase production, but the last time he asked, they told him to out an egg in his shoe and beat it.

Don''t like paying high prices for gas? Thank an environmentalist and liberal democrats who jumped in bed with them. It''s only going to get worse.

Posted by LibH8er at 10:07 AM : May 16, 2008

This is a flip-flop for the shrub. He at one point stated he would not ask OPEC to increase production.

Mr. Bush was critical of Al Gore in the 2000 campaign for being part of "the administration that''s been in charge" while the "price of gasoline has gone steadily upward." In December 1999, in the first Republican primary debate, Mr. Bush said President Clinton "must jawbone OPEC members to lower prices."

As gas topped a record level of $50 a barrel this week, Mr. Bush has shown no propensity to personally pressure, or "jawbone," Mideast oil producers to increase output.

A spokesman for the president reportedly said in March that Mr. Bush will not personally lobby oil cartel leaders to change their minds.

[stn_sage]

We know you won''t relieve the high price of gas in America by this one day visit, but while you''re there, could you continue to make hair-brained, outrageous, inflammatory, hate speeches like your attack on Mr. Obama yesterday?!

I know yesterday''s speech got the people in my locality ''pumped up'' against you, Rep congressmen, and the GOP!

In fact, if you want to make it part of the daily routine---GO AHEAD! You came into office cajoling, insulting, attacking, belittling, and hating; it''s only appropriate you leave office the same way!!

[ioweign]

Don''t like paying high prices for gas? Thank an environmentalist and liberal democrats who jumped in bed with them. It''s only going to get worse.

Posted by LibH8er at 10:07 AM : May 16, 2008

The Republicans gave big oil the tax breaks. What have they done with that money?

[tawpdawg11]

Sales of nearly all gas powered vehicles declined last year and auto makers lost buku bucks and laid off tens of thousands.....AGAIN!. Only the hybrids showed any increase and it was dramatic....think I read around 65-70%.

Question:

If half an electric car is a good thing, what would an entirely electric car be?

If we all drove electric cars we could tell the Arabs to pound sand and ****** with oil.

When will Americans demand this basic change?

Could it come as a part of the political change that is currently in full swing?

Did anyone ever see "Who Killed The Electric Car?"

I just saw a local news program where middle school students built miniature solar powered model cars.

Solar powered vehicles....so simple a kid can build them.

Demand more of our leaders.

This looks like our big chance.

Hope we don''t blow it.

[talkingham]

At last a photo-op of the President''s real family and closest advisors. Bandar Bush set our energy policy along with Cheney in secret meetings with "oil execs" content of which are exempt from sunlight laws by executive privilege -- just prior to the Saudis 911 attack which "saved" the Bush presidency.

The Bush family has kissed Saudis feet for more than 20 years, why do you think he''s President because he was qualified? Yes, by the Saudis king.

[trishab4]

CBS: Bush Appeals To Saudis As Oil Hits A High
President Renews Effort To Get Saudi Arabia To Boost Oil Production As Cost Of Crude Tops $127


-As long as the hawkish speculators are not leashed with laws/regulations and as long as this essential commodity (oil/gas) is not controlled by official bodies, the price is gonna keep hitting the ceiling by the hour.

-''Gently enough'' the oil merchants are telling us the price my hit 200$ by the end of the year. Why so? Just tell us why? Is it another oway of strangulating the Chinese economy with this high price?

- It''s the Americans who are getting skrewed, because we''re the ones who consume most of Chinese products, a grateful generosity by our National WalshitMart. Without mentioning the direct impact on gas price at the pump.

[talkingham]

And oh yeah, why do you think big media has rammed Hillary and Obama down our throats - because they are the weakest candidates the Dems could have chosen. McCain stands an execellent chance of beating either one because of the high negatives they generate in swing voters.

[stn_sage]

Thank an environmentalist and liberal democrats who jumped in bed with them.

Posted by LibH8er at 10:07 AM : May 16, 2008

Gee, and all that time that the GOP controlled the Senate, House and the Presidency it was the environmentalists and liberal Democrats who were in control? Wow.
Posted by roger_inkart at 10:13 AM : May 16, 2008
--------------------------------------------------
My response: That guy specializes in taking an action that the GOP has bungled, concocting a rationale why the Dems are responsible, and blaming THEM! He''s dim-witted at best! I marvel at your patience in pointing that out to everyone, Roger!

[lvdragonlady-2009]

Looks like the repubs. are in full force on this post. Guess they just love to pay $4 a gallon for gas for their ''foreign'' pickup trucks.......lol
You go guys......what goes around comes around......karma is a bytch

[oscarez]

Bush ask asked Saudi Arabia to raise production with a wink, wink and a nod, nod so I can go home and say I tried. George W Bush makes me won''t to puke.

[excoachken]

Imagine that George, and after all you did to get the bin Laden family safely out of the U.S. on 9/12, when the rest of us were not allowed to fly! They sure have their share of "chutzpah!"

[roger_inkart]

McCain stands an execellent chance of beating either one because of the high negatives they generate in swing voters.

Posted by talkingham at 10:25 AM : May 16, 2008

Polls in those states show otherwise. And when the Dems do choose a candidate, all they''ll have to do is show how much McCain is like Bush and he''ll be toast.

Bush has the highest disapproval ratings in history. Do you GOPers think that won''t reflect on McCain and the Republicans this fall? You''ve lost THREE straight special elections to dems in very red areas. If you can''t even win on your home turf, do you think you''ll do well in swing states?

[bon_jovi_jov]

@Oscarez

he is *** happy, just look at the expression in his face.

it looks like he done a good job and now going to take his paycheck ;)

[tawpdawg11]

I love how GOP tries to paint Barack HUSSEIN Obama as a closet durka-durka at the same time that Bush is having a photo op with them and gas is 4 bux a gallon. What the hell am I missin?

[tawpdawg11]

And oh yeah, why do you think big media has rammed Hillary and Obama down our throats - because they are the weakest candidates the Dems could have chosen. McCain stands an execellent chance of beating either one because of the high negatives they generate in swing voters.

Posted by talkingham at 10:25 AM : May 16, 2008

Turn around and look UP, man! THAT IS A TSUNAMI COMING! McBush going nowhere but home.

[clestes-2009]

I am sick and tired of being humiliated by these oil barons!!

The imagine of that sorry azz president we have going to them hat in hand, after the BILLIONS we have given them, not to mention that 15 of the 19 hijackers were Saudis, is TOO MUCH.

How much longer are we, the American people, going to put up with this??? We have allowed our dependence on oil to put us in a position where big oil companies are f*cking us at the pumps, and middle east leaders are f*cking us at the oil well and CO2 is f*cking us in the atmosphere. As far as I can tell, oil is a lose, lose, lose proposition for us.

Time for alternative energy to take the place of oil. All the money that is going to be spent on finding new oil deposits needs to be spent on developing alternative energy.

If you are as sick of this as I am, vote for Obama. He believes the same.

[roger_inkart]

What the hell am I missin?

Posted by TawpDawg11 at 10:40 AM : May 16, 2008

Well, if you''re a conservative you''re missing the bitter irony.

[tawpdawg11]

Saudi''''s have us by the sack and are twisting.

Get Alternative fuels up and running and let''''s tell them to go pound sand!

Posted by dragonwagon5 at 10:28 AM : May 16, 2008

To heck with "alternative" fuels. Give us alternative technologies. The "fuel" is right there in the sky! It will never run out! And yes, I''d like to watch video of them POUNDING SAND!

[Keypinitreel1]

George Bush needs to go back to Israel and stay there....take Lieberman with him. He''s not an American...he is something else.. I don''t know what the hell he is...but he isn''t one of us...nor does he care about whats in OUR (American Peoples) bets interests.

[tawpdawg11]

Sales of nearly all gas powered vehicles declined last year and auto makers lost buku bucks and laid off tens of thousands.....AGAIN!. Only the hybrids showed any increase and it was dramatic....think I read around 65-70%.

Question:

If half an electric car is a good thing, what would an entirely electric car be?

If we all drove electric cars we could tell the Arabs to pound sand and ****** with oil.

When will Americans demand this basic change?

Could it come as a part of the political change that is currently in full swing?

Did anyone ever see "Who Killed The Electric Car?"

I just saw a local news program where middle school students built miniature solar powered model cars.

Solar powered vehicles....so simple a kid can build them.

Demand more of our leaders.

This looks like our big chance.

Hope we don''t blow it.

[quetzalcrist]

I Guess his taking the giant vaseline jar to Saudi Arabia was not as useful as when he took it out in Isreal...

[fairandbal]

Bush says he gave up golf since 2003 as his form of sacrifice to show the troops he''s with them. Wow! our supreme dictator is really going out on a limb to support the troops who are giving their lives.
way to go man! i''m in tears.

[roger_inkart]

All you need do is look at where the nation was when Mr. Bush took office and where it is now. He turned the nation from the world''s only superpower into what you see today.

A curse on him, his administration and his dimwitted followers. You slit the throat of the nation for a few bucks back on your taxes, and a warped devotion to your party. You sicken me beyond words.

[roger_inkart]

What kind of animals are you???

Posted by danbygrace at 10:51 AM : May 16, 2008

I''m a primate myself. I don''t know about you braindead, reactionary rightwingers. I''d call you maggots.

[prinzowhales]

These people are, quite frankly, the very scum of the earth and it will be a shining new day when the world is rid of them! Bush...his Neo-Cons...his Wahabis...
his Zionazis and the Rockefellers, whose welfare he supports and whose policies he assidiously carries out.

Brown''s gas could run the world--but it would destroy the Rockefellers...Electric cars would stake these animals as surely as any vampire of fiction...solar power would, likewise, insure their utter destruction.

Instead our Demopublican Puppet in Chief begs a bone that we do not need...promotes weapons sales to Saudi that support that cess pit of corruption and brays like an arse before the Knesset of Terrorist Israel whose odious war criminal and bribe taker, Olmert, presents him with a weapons wish list so that these swine can continue to carry out their abominations in the Middle East...and before this nest of demons he promotes a false controversy over appeasement with the Puppet-in-Waiting, Obama. Filth! Scum! Vermin!

[cfin5]

We''ve got 2 trillion barrels of oil under the Rocky Mountains. It''s simple, get your executive order pen out and sign off on the appropriate restriction waivers that have red taped the oil production and refinery industry. Wouldn''t this rid the Saudis from our lives?

[fairandbal]

What kind of animals are you???

Posted by danbygrace at 10:51 AM : May 16, 2008

I''''m a primate myself. I don''''t know about you braindead, reactionary rightwingers. I''''d call you maggots.

Posted by roger_inkart at 10:58 AM : May 16, 2008


sort of like this brain dead reactionary wingnut?
http://www.youtube.com/watch?v=d1wSZBTAXRs&feature=related

[roger_inkart]

Case and Point!!!!!!!

Posted by danbygrace at 11:04 AM : May 16, 2008

You mean ''case IN point'' moron. Geez, you people are dense. You probably don''t even realize you, yourself, are a primate too.

[roger_inkart]

We''ve got 2 trillion barrels of oil under the Rocky Mountains.

Posted by cfin5 at 11:07 AM : May 16, 2008

Really? I''ve never heard that. Regardless, it doesn''t solve the problem, it just pushes it onto future generations.

[perceptions5]

Looks like Obama is yet in another flak:

"In a speech to the Urban League last July, Sen. Barack Obama, D-Ill., boasted of his efforts in 2001 to help a handful of African American-owned investment firms in Chicago get a larger share of business with Illinois state pension funds. "And in six months, they got about a half-billion dollars'' worth of business simply on their excellence," Obama said.

What he did not say in his speech was that the owner of one of the investment firms, John Rogers of Ariel Capital, is a principal campaign fundraiser. Nor did he reveal that employees of the firms he helped have since contributed to or helped to raise more than $765,000 for his campaigns, according to campaign documents. Nor did he mention that two of the firms have allowed him to use their private jets. Nor did he mention that two of the firms have since been dismissed by the state pension fund for "underperformance."

......Wow, and isn''t strange how USA Today manage to miss this damming story.

Is anyone really surprised at the lengths our mostly liberal MSM wolfpack press will go to coninue their promotion and propping up of this guy, Obama?

Really sad indeed..........

[frankson2]

IT''S ALL SHOW BUSINESS! BUSH KNOWS A LARGE PART OF THE SUPPLY PROBLEM ARE THE GREADY REFINERS. THE SAUDI''S SHOULD ESCORT BUSH BACK TO HIS AIRPLANE AND WAVE GOOD BYE