The oil market is in turmoil as the kingdom struggles to keep prices stable after a series of price rises and a plunge in crude prices that pushed oil prices to record highs.
But the price of oil is far from cheap, and Saudi Arabia has long been dependent on a large amount of oil imported from abroad, including from countries like Iraq and Iran.
Now, Saudi Arabia may be selling its crude for as little as $1.50 per barrel, the latest price to be announced by the kingdom.
It’s not clear how many barrels Saudi Arabia will sell this month, or if it will be able to sell all of its oil at $1 a barrel, a market that is expected to reach record highs this summer and fall.
It will be up to Saudi Arabia to sell the oil at its record low prices, but Saudi Arabia and other OPEC members are already cutting back production and limiting how much oil they can import from outside the oil market, in a bid to hold prices steady.