Good news about gas prices

With prices expected to rise over $4.00 a gallon, some good news may be needed, so with that in mind I give you an AP interview with Saudi Arabia's foreign minister Prince Saud al-Faisal.

In a wide ranging interview with the Associated Press, Saud discussed the future of oil and the reasons behind the current high gas prices.

With oil prices rising amid disruption of Gulf Coast crude oil production and refining due to the Hurricanes Katrina and Rita, Saud rejected suggestions of an oil shortage and said prices should drop to $40 to $45 a barrel from over $65.

"The oil industry does not suffer from a lack of oil," Saud said.

He cited a lack of refineries in the United States and elsewhere and said Saudi Arabia had sought to help build a U.S. refinery, but had no takers.

"We are adding barrels of oil on the market," Saud said. "The price of oil will go down." He predicted prices would decline significantly by next summer.

Part of the current problem is government regulations and part of the problem (coming from Aaron the Big Oil Apologist) is the oil companies refusal to build any more refineries.

They don't want to deal with the regulations put forth by the government that make the cost to build a refinery extremely high and they don't exactly mind oil prices being high.