Saudi rival Iran too is suffering, with the price drop adding to huge revenue losses due to sanctions on its crude sales imposed over its nuclear program. "If the OPEC were to trim the production limit, it will therefore concede more market share to shale oil producers, so it is not in the best interest of its members in the long term," he said. Present prices are manageable for the Saudi government, as its coffers are well-padded and its oil production costs are relatively cheap. Even if OPEC is able to surmount internal differences and persuade all members to slash production, poorer OPEC members would be hurt because reduced output means reduced income. Instead they appear to favor the opposite strategy — maintain output to the point where oversupply drives prices below the level making shale oil production economical.