I am chuckling at -don't chuckle too much
The Saudis are attempting to do some major damage to the US frackers. They didn't increase their own production, and follow it up with price cuts specific to the US oil market just for giggles.
If WTI prices hit 75, and then 70, it won't be a "drill baby drill" environment. No one is going to sell oil for 10-15% below costs. Drilling rigs will be cut. Rework the fracs of existing wells which is cheaper, and then ride out the storm. Read the CCs of some of the larger US frackers. Do WTI prices go down to the 60s, and stay there for more than 6 months? If so, then damage will be done to the balance sheets. A CPE will struggle with their existing debt, if this continues long term.
The magic question is: How long do the Saudis keep the price war going? How much long term damage is done to the US frackers? The Saudis have the USD reserves to keep the price pressure on for 2 yrs. Or does the Saudi price war end in a few months, and all is fine in the oil patch again?