Tuesday - May 02, 2006

Banana Republic Theft

Bolivian President Seizes Gas Industry
Troops Deployed In Move to Block Foreign Influence
_{Tuesday, May 2, 2006}

CARACAS, Venezuela (WASHINGTON POST)—Bolivian President Evo Morales seized control of the country’s natural gas industry Monday, sending soldiers to occupy fields that he contends private companies have plundered for years.

Morales said that unless foreign energy firms agreed to give Bolivia’s state oil company oversight of production and a majority of their revenue generated in Bolivia, the government would evict them from the fields.

“The time has come, the awaited day, a historic day in which Bolivia retakes absolute control of our natural resources,” Morales said during a televised speech from a gas field near the country’s southern border. “The looting by foreign companies has ended.”

Morales’s announcement was expected, but his deployment of troops to gas fields was a strong statement in a region where governments are moving to block outside influence, particularly from the United States, and exert more control over the energy industry. Venezuela recently voided drilling contracts with private companies at 32 oil fields, demanding new contracts that give the state oil company a 60 percent stake. Ecuador is finalizing a law that could limit excessive profits by foreign crude producers.

The developments in Bolivia were not expected to affect the U.S. energy market. Even in Bolivia, analysts played down the importance of the troop deployment, but they acknowledged the message Morales was trying to send.

Monday’s announcement coincided with May Day workers’ celebrations throughout the country. Morales had been under political pressure to announce the plan, which his backers consider a key to the success of his administration. He has said he plans to use increased state revenue from the takeover to fund social programs in South America’s poorest country.

Even though it recently reached oil independence, Brazil is the country that leans most heavily on Bolivia for natural gas. In the 1990s, the Brazilian government reinforced the country’s hydroelectric power grid with plants fueled by natural gas, and many of Brazil’s automobiles run on natural gas. About half of Brazil’s natural gas needs—520 million cubic feet daily—are supplied by Bolivia via a 2,000-mile pipeline financed mostly by Petrobras. In 2003, Petrobras discovered gas deposits within Brazil that some experts say could significantly ease demand, but tapping that gas could prove costly and difficult.

Posted by The Skipper     on 05/02/2006 at 07:20 AM   
Filed Under: • Corruption and Greed • International •  
• Comments (15) • Trackbacks(0)  Permalink •  

DISCLAIMER

THE SERVICES AND MATERIALS ON THIS WEBSITE ARE PROVIDED "AS IS" AND THE HOSTS OF THIS SITE EXPRESSLY DISCLAIMS ANY AND ALL WARRANTIES, EXPRESS OR IMPLIED, TO THE EXTENT PERMITTED BY LAW INCLUDING BUT NOT LIMITED TO WARRANTIES OF SATISFACTORY QUALITY, MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE, WITH RESPECT TO THE SERVICE OR ANY MATERIALS.

Not that very many people ever read this far down, but this blog was the creation of Allan Kelly and his friend Vilmar. Vilmar moved on to his own blog some time ago, and Allan ran this place alone until his sudden and unexpected death partway through 2006. We all miss him. A lot. Even though he is gone this site will always still be more than a little bit his. We who are left to carry on the BMEWS tradition owe him a great debt of gratitude, and we hope to be able to pay that back by following his last advice to us all:

1. Keep a firm grasp of Right and Wrong
2. Stay involved with government on every level and don't let those bastards get away with a thing
3. Use every legal means to defend yourself in the event of real internal trouble, and, most importantly:
4. Keep talking to each other, whether here or elsewhere

It's been a long strange trip without you Skipper, but thanks for pointing us in the right direction and giving us a swift kick in the behind to get us going. Keep lookin' down on us, will ya? Thanks.

THE INFORMATION AND OTHER CONTENTS OF THIS WEBSITE ARE DESIGNED TO COMPLY WITH THE LAWS OF THE UNITED STATES OF AMERICA. THIS WEBSITE SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE UNITED STATES OF AMERICA AND ALL PARTIES IRREVOCABLY SUBMIT TO THE JURISDICTION OF THE AMERICAN COURTS. IF ANYTHING ON THIS WEBSITE IS CONSTRUED AS BEING CONTRARY TO THE LAWS APPLICABLE IN ANY OTHER COUNTRY, THEN THIS WEBSITE IS NOT INTENDED TO BE ACCESSED BY PERSONS FROM THAT COUNTRY AND ANY PERSONS WHO ARE SUBJECT TO SUCH LAWS SHALL NOT BE ENTITLED TO USE OUR SERVICES UNLESS THEY CAN SATISFY US THAT SUCH USE WOULD BE LAWFUL.

Copyright © 2004-2015 Domain Owner