Category Archives: U.S. oil

With a USA-dependent oil sector, Chavez can’t help Ahmadinejad

(Edited, 20 Jan.) President Ahmadinejad of Iran visited Venezuela on January 9, and then three of President Chavez’ closest Latin American allies, to search for help. His tour was part of a flurry of diplomacy in the New Year leading up to the imposition of severe new U.S. sanctions on Iran’s ability to export oil, beginning in June.

Presidents Ahmadinejad and Chavez in Caracas (Photo: El Universal)

While these two presidents met in Caracas, U.S. Treasury Secretary Geithner was visiting South Korea, Japan and China, and other U.S. officials were Continue reading

A Santos-Chavez Pipeline: Where’s the demand for Latin America’s oil boom?

President Santos of Colombia recently went to Caracas where he and PresidentChavez signed a letter of commitment  for the “Binational Project on the Venezuela-Colombia Oil Pipeline” to run 3,000 km. from Venezuela’s Faja heavy-oil region, west across Colombia to the Pacific port of Tumaco.  (El Universal and El Universal).  After many disappointments in recent years in collaborations with PDVSA, Latin American presidents haven’t endorsed many joint projects lately.  Nevertheless, Santos was beside himself with enthusiasm after the five-hour meeting on 28 November, declaring “Wherever we’ve mentioned this, people’s eyes open wide.” (Reuters)

Let’s look at some data to see if Santos and Chavez are really onto somehing here. Continue reading

Our modern “Fire Water” addiction: From Native American salesmen

The Seneca Nation of Indians  reservation.  NE of Buffalo, NY

Yesterday, I went with my brother from his small farm (en America Latina se dice “una finca” ) to the nearby Seneca Indian Nation Reservation (here is the nation’s official web site), to buy gas for his pickup.  Many of the locals hereabouts do this frequently.  The Seneca are, by treaty with the US federal government, a sovereign nation, so they are not required to charge federal or NY State taxes on gasoline.  So, there are a few very busy gas stations on the Continue reading

Ending U.S. Federal Subsidies for Oil Companies to Drill

Boston, MA (From the road, with visits to Lynn and Marblehead)

I had the unexpected opportunity yesterday to hear the Governor Patrick of the State of Massachusetts and local Boston U.S. Congressman Ed Markey – Chair of the House Select Committee on Energy and Environment –talk to a meeting of union activists who will be canvassing local Boston voters to ascertain their concerns before the next elections.  I spoke briefly with the congressman.

Markey has been instrumental in the recent attempts to repeal Bush-era federal legislation that grants subsidies to oil companies to encourage them to drill for oil in US territory. As he pointed out, this seems especially inappropriate at a time when oil prices are about double what they were when these subsidies were adopted. The congressman explained how he felt there was no need for such encouragement now, especially at taxpayer expense and when there is such concern to reduce the federal deficit.   (I thank my old friend and union organizer/analyst here in Boston for inviting me.)

My next post, in a day or two, will be on what I see as: “The Pragmatic Turn in Venezuelan Foreign Policy.” This is a complex (and controversial) topic and it will occupy many future posts. However, first one has to establish whether this turn is or is not actually taking place … and only then can we analyze what the implications and effects, for better or worse, might be.