Exporting jobs and cash
Posted by aogThursday, 27 August 2009 at 21:19 TrackBack Ping URL

So President Obama is in favor of government support for offshore drilling for oil as long as it is not in USA territorial waters.

The U.S. is going to lend billions of dollars to Brazil’s state-owned oil company, Petrobras, to finance exploration of the huge offshore discovery in Brazil’s Tupi oil field

But hey, it’s subverting free markets and that’s always good, right? It’s not like that sort of cash is needed anywhere in the USA, and especially not in any taxpayer’s pocket. It does look good, however, in Geroge Soro’s pocket apparently.

Comments — Formatting by Textile
erp Friday, 28 August 2009 at 09:23

Quid Pro Quo. For those who worry about purity of our oceans, don’t be concerned about this caper. It has nothing to do with nasty drilling or anything like it. It’s just a little payback for Papa Soros so he can recoup a couple of bucks he’s laid out for our pres.

Annoying Old Guy Friday, 28 August 2009 at 10:55

I think it’s the other way — Obama decided to make the loan to Petrobras and tipped off Soros for a little insider trading.

And it’s been well documented that for the MAL environmental crimes can only be committed by the USA. Other nations exploiting natural resources is never environmentally unfriendly.

erp Friday, 28 August 2009 at 11:57

Why decide to make the loan in the first place if not as a ploy for payback to Soros and possibly a crumb or two to Lula. They’ll be no environmental crimes, only ordinary corruption.

Annoying Old Guy Tuesday, 01 September 2009 at 11:05

The Obama Administration strikes again putting-billions-into-british-distiller/ — billions of subsidies for a British distiller to move from Puerto Rico (USA dependency) to the Virgin Islands (USA dependency). I am sure the fault of free market types somehow. And former President Bush. Grant III Watch, dudes.

erp Tuesday, 01 September 2009 at 18:55

The Clinton’s are worth over a hundred mil. When Obama is done, that’ll be chump change.

AVeryRoughRoadAhead Monday, 14 September 2009 at 04:38

Regarding Petrobras - it occurs to me, as a Project for the New American Century supporter, that spending a little money to help the rest of the world to exhaust their ready energy sources, particularly fuel, could be an extremely wise and foresighted investment. Especially if they exhaust it by selling it to us for our use, allowing the U.S. to save their energy sources against future need [insert maniacal laughter].

Disclosure: I have been in the past, and plan to be again in some future year, a Petrobras shareholder.

Annoying Old Guy Monday, 14 September 2009 at 08:14

Yes, I have pondered that aspect as well. It’s exactly the kind of clever, forsightful plan that our government is utterly incapable of achieving. It is, however, one of the reasons I am not a big “energy independence” booster.

cjm Monday, 14 September 2009 at 23:44

oil has a limited lifespan as far as being a source of wealth. better we pump ours now while it is worth something. once the political paralysis in this country ends, and we go nuke, oil will be worth about $5/bl (if that). kind of like hoarding confederate dollars in 1864.

AVeryRoughRoadAhead Tuesday, 15 September 2009 at 00:00

once the political paralysis in this country ends, and we go nuke…

We can hope. But even if rationality prevails, (and there’s scant evidence that that’ll be anytime soon), oil will still be very valuable as fuel for vehicles. In terms of mass/energy ratio, oil can’t be beat, and it’s relatively easy to transport, store, and use. There’s a reason that we use oil instead of coal or natural gas for our planes, trains, and automobiles.

Electric vehicles, while we could live with ‘em, have many drawbacks that would take an unpredictable breakthrough in battery tech to resolve.

Further, there would be a decades-long conversion period where oil would remain valuable even in the best-case scenario, where we start approving and building nukes NOW. Since that ain’t happenin’, what’s more likely is that oil remains extremely valuable through at least mid-century. Hopefully be then we’ll be building fusion facilities.

cjm Tuesday, 15 September 2009 at 10:53

once electrical power is ubiquitous (sp?) electric vehicles make a lot of sense. keep in mind that a diesel locomotive is actually using electric motors (iirc). oil won’t even be used for lubrication, not so far down the road. i am not saying we will all live in a jetson’s world, just that internal combustion engines are going to be relics one day soon. drilling our own oil now would free up a lot of money for funding the R&D costs of electric vehicle technology.

AVeryRoughRoadAhead Wednesday, 16 September 2009 at 00:28

I don’t disagree about drilling; I’d love to see ANWR and the Cali & Florida coasts tapped, and even more importantly, oil shale development on Federal lands in the Rockies.

It’s just that there may be a silver lining in NOT using our own fossil energy sources, depending on how the future plays out. If it’s a world where there aren’t any breakthroughs in fusion, cellulosic ethanol, fuel algae or solar cells for several decades, then the No. American deposits are going to be EXTREMELY valuable, both financially and in a strategic military sense.

ICEs are someday going to be relics, but if by “soon” you mean anytime in the next three decades, I have to disagree. It took more than twenty years for automobiles to supplant horses, for instance.

Annoying Old Guy Wednesday, 16 September 2009 at 07:59


I have one word for you - “plastic”. It’s not just a fuel.

cjm Wednesday, 16 September 2009 at 14:00

care to elaborate? i get the reference to “The Graduate”, just not sure what you mean by it.

Annoying Old Guy Wednesday, 16 September 2009 at 14:09

Plastics are a key element in our current economy. Plastics are made out of petroleum. Even if we don’t burn petroleum for its energy, it would continue to have a significant value as feedstock for the plastics industry.

cjm Wednesday, 16 September 2009 at 16:24

ahhhh, ok. yes, oill will still have an industrial role but once it is no longer used for fuel the demand for it (obviously) will drop precipitously, as will the price the sheiks can charge for it. having said that, i suspect the many health hazards associated with plastics will lead to more organic (maybe cellulose) based replacements.

how is your company doing?

Annoying Old Guy Friday, 18 September 2009 at 07:52

We’re doing OK. I think we finally got a sale, and have a couple of deals in the works.

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