According to the NYT, the Saudi’s (the principal) are thinking of using the oil price to incentivize Russia (the agent) to stop supporting Iran:

Saudi Arabia has been trying to pressure PresidentVladimir V. Putin of Russia to abandon his support for President Bashar al-Assad of Syria, using its dominance of the global oil markets at a time when the Russian government is reeling from the effects of plummeting oil prices…Saudi officials say — and they have told the United States — that they think they have some leverage over Mr. Putin because of their ability to reduce the supply of oil and possibly drive up prices.

There is one countervailing effect that has been foreseen and dismisssed:

American and Arab officials said that even if Russia were to abandon Mr. Assad, the Syrian president would still have his most generous benefactor, Iran. Iranian aid to the Syrian government has been one of the principal reasons that Mr. Assad has been able to hold power as other autocrats in the Middle East have been deposed.

And as a major oil producer, Iran would benefit if Saudi Arabia helped push up oil prices as part of a bargain with Russia…..

But the military aid that Russia provides to Syria is different enough from what Damascus receives from Iran, its other major supplier, that if “Russia withdrew all military support, I don’t think the Syrian Army could function,” a senior Obama administration official said.

But there is a bigger one: Iran has a nuclear program that the US (and Saudi Arabia?) would like to undermine. Low oil prices and sanctions are the stick that the US has been using to get Iran to the negotiating table. An increase in the price of oil price takes away the stick etc etc. Hope the absence of any mention of this in article does not imply someone is not thinking it through.

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