Chapter 705 Low Oil Prices
To be honest, the reproduction speed of the princes in the Middle East is like... Here, in the past life, Jing Jian didn't even know the names of those kings, so who would remember those princes? However, this Prince Fahd is different, because he... is about to die. It's not that he is cursing him, but that he is really going to die, and his death shocked the world and wouldn't even last for a month.
Just one month later, Iraq invaded Kuwait, when members of the Kuwait royal family gathered together and prepared to escape. However, Prince Fahd was unwilling to bear such humiliation and determined to serve the country with his death, and to work with his two sons to defend the country's last symbol - the Dasman Palace.
Then, under the command of Prince Fahd, the palace guards fought bloody battles. Iraq swept across Kuwait for less than a few hours, but it took almost a whole day to attack the Dasman Palace! Until the early morning of the next day, Iraq finally transferred tanks in a panic, cooperated with the bombardment of cannons, and broke through the defense line. However, the prince and his sons still refused to surrender. They led the remaining guards to resist for five or six people until they were finally wiped out.
It is particularly worth mentioning that in 1990, the 11th Asian Games will be held in Beijing, China. This is the first time China has won such a large-scale sports event. However, due to the 1989 storm, Western countries have encouraged Asian countries to boycott the game, and even lobbying Prince Fahd, as president of the Asian Olympic Council, to cancel China's hosting rights. However, the prince advocated the justice that politics and sports cannot be confused, and insisted that the Asian Games must be held in Beijing. He also specially asked officials of the Chinese Embassy in Iraq to translate the last three sentences of the opening speech into Chinese and prepare to greet the Chinese people in Chinese.
Putting aside the differences between the country and the nation, Prince Fahd is worthy of being a national hero, so a veteran like Jing Jian couldn't help but feel respectful. However, when Jing Jian thought of facing such a dying person, he felt quite strange in his heart.
Prince Fahd didn't realize that Jing Jian was wrong. He asked with a smile: "Bramble, how could you think of buying Portsmouth Club?"
At this time, Jing Jian had returned to peace, and the background of the outbreak of the Gulf War was a bit complicated (I will introduce it later). If Jing Jian reveals a little bit now, it would be a slaughter. No matter what, it is impossible to like it, and just put himself in danger, right? "Your Highness, there are two reasons: First of all, I love football; in fact, this is a very valuable investment."
"Oh? A valuable investment? Can you tell me in detail?"
"The value of the sports industry is underestimated, mainly because the value of live TV broadcast fees is seriously underestimated. In fact, some people have already discovered this. Mr. Uberroth's Los Angeles Olympics not only turned losses into profits, but also made significant profits. Football is the number one sport, and the top European leagues are the crown jewel. However, clubs such as Italy, Spain, Germany are not very open to foreign investors, and only England welcomes foreign investment, so after weighing the trade-offs, I bought Portsmouth at the time."
"Oh?" Prince Fahd joked, "So you want to buy the entire England team?" At this time, it was not an era when Asian wealthy people spent money, so Prince Fahd had a good impression of Jing Jian, a young man who "had a big Asian".
Jing Jian nodded with a smile: "From a certain perspective, the player's value is still relatively low now, and it may rise sharply in less than a few years. And to be honest, your highness, the most valuable thing about football clubs is not investment value, that is, buying low and selling high, but a huge advertising effect and representing a certain identity."
"Haha, that's true." As the chairman of the Asia-Austrian Council, Prince Fahd quickly understood Jing Jian's words.
The car slowly drove into the underground parking lot, and several people got out of the car, and the conversation continued: "Bramble, when it comes to investment, you should be a famous investment expert, right? I have a question. I heard that you have joined forces with many investors to buy oil rising periods. Can you tell me the reason?"
"Uh?" Jing Jian was indeed stunned. What else could be the reason? Isn't it because of the war that caused you to die?
Seeing that Jing Jian seemed unwilling to say it, Prince Fahd smiled and explained: "Don't get me wrong. I either want to inquire about your business secrets. Or my investment experts analyzed that the end of the Iran-Iraq War has led to the situation in the Middle East becoming more and more stable, and oil prices will remain at low levels for a long time. But you seem to have different ideas from them, so I want to learn from you. You know, oil extraction is a pillar industry in Kuwait, and we are particularly sensitive to the rise and fall of oil prices."
At this time, although the princes in the Middle East were local tyrants, they did not become super tyrants like they did in the future. In order to continuously suppress the Soviet economy, the oil market controlled by Europe and the United States has been maintaining a low level. Because of the ceasefire in the Iraq War, the oil price is now only a pitiful about US$14 per barrel.
How pitiful is it? Take Jing Jian’s exploration in Foxoya as an example! If he found that half of the oil field belongs to Foxoya government, the drilling cost is US$3.4 per barrel, and then give CNOOC a labor fee of US$2 per barrel, and then remove the taxes paid, he can only get about US$1 per barrel. Moreover, the exploration cost is tens of millions of dollars, which means that only after selling tens of millions of barrels can he recover the cost and start making profits. Note: This has not taken into account the complex geological conditions. If the drilling cost is increased to US$7.8 or even more than ten dollars, it will be a bloody spit. Selling one barrel will cause losses to one barrel.
To be honest, if Jing Jian hadn't had the rebirth of gold fingers, ordinary people wouldn't have dared to bet like this. This is why, the exploration of European and American countries in Frossoya was so scattered. If you were not careful, you would lose all your money?
Of course, those countries in the Middle East do not have that high cost and do not need to share with outsiders, but they still make very pitiful. In order to obtain enough income, they can only extract more oil. However, more mining will cause oil prices to fall. In this way, they will fall into a vicious cycle.
Jing Jian understood what Prince Fahd meant. He was worried that the oil price would be sluggish for a long time, so he came to Jing Jian for psychological comfort. He was quick to learn, and Jing Jian thought of a reason: "Your Highness, you may not be familiar with China's development speed. Maybe in the near future, China will become an oil importer, and the annual import volume will become larger and larger."
"Oh?" Prince Fahd's eyes lit up.
Chapter completed!