Saudi Arabia: Terrorism, U.S. Relations And Oil

Saudi Arabia enjoys special importance in much of the international community because of its unique association with the Islamic religion and its oil wealth. Since the establishment of the modern Saudi kingdom in 1932, it has benefitted from a stable political system and a prosperous economy dominated by the oil sector. With one-fourth of the world's proven oil reserves and some of the lowest production costs, Saudi Arabia is likely to remain the world's largest net oil exporter for the foreseeable future. During January-October 2004, Saudi Arabia supplied the United States with 1.5 million barrels per day of crude oil, or 15%, of U.S. crude oil imports during that period. The September 11, 2001 attacks fueled criticisms within the United States of alleged Saudi involvement in terrorism or of Saudi laxity in acting against terrorist groups.