Venezuela

Oil and unrest in Zimbabwe, Mexico

World oil prices remain depressed, now hovering at around $60 per barrel, although they did experience an uptick this month, probably driven by the escalating crisis in Venezuela and fears of a US-China trade war. (Xinhua, Jan. 27; OilPrice, Jan. 18) Yet this month also saw Zimbabwe explode into angry protests over fuel prices. A three-day nationwide strike was declared by the trade unions, and the government responded with bullets and a total Internet shut-down. At least 12 were killed and hundreds arbitrarily arrested. The unrest was sparked when the government doubled fuel prices, making gasoline sold in Zimbabwe the most expensive in the world. President Emmerson Mnangagwa said the price rise was aimed at tackling shortages caused by an increase in fuel use and "rampant" illegal trading. (FT, Jan. 18; Amnesty International, Jan. 15; BBC News, OilPrice, Jan. 14)

Forgotten voices in Venezuela crisis

Things are approaching a crisis point in the long battle of wills between Venezuela and the White House. Juan Guaidó, president of the opposition-controlled National Assembly, swore himself in as the country's "interim president" before a crowd of tens (by some accounts, hundreds) of thousands of supporters in Caracas on Jan. 23. Perhaps in an abortive move to pre-empt this, the SEBIN political police detained him on his way to a rally three days earlier, but later released him without charge. At his auto-inauguration, he declared President Nicolás Maduro's re-election last May illegitimate, and himself the only legitimate executive authority in the country. Donald Trump immediately announced that he is recognizing Guaidó—quickly joined by Canada and several Latin American governments.

'Worst human rights crisis' in Venezuela's history

The Venezuelan government is responsible for the "worst human rights crisis in its history," intentionally using lethal force against the most vulnerable in society, Amnesty International said Sept. 20, as it published its latest research into violence and systematic abuses in the country. The report, This is no way to live: Public security and the right to life in Venezuela, shows how the Venezuelan government is failing to protect its people amid alarming levels of insecurity in the country, instead implementing repressive and deadly measures.

Venezuela re-privatizing oil resources

Venezuela has agreed to open at least seven oil-fields to private companies in contracts "similar to ones rolled back under late socialist leader Hugo Chávez," Reuters reported Sept. 10. The plan was revealed in a televized ceremony Aug. 28 in which representatives of the companies met with President Nicolás Maduro to sign "joint service agreements" with the state oil company PDVSA. Terms of the deals were not disclosed. But in a draft contract obtained by Reuters, PDVSA offers to turn over the fields for six years on condition that the companies provide the required investment to boost production. PDVSA president Manuel Quevedo said at the ceremony that the plan would require $430 million for an increase of 641,000 barrels per day. Quevedo said the plan involves 14 companies, although only seven were present for the ceremony and the others were unnamed. The seven include five Venezuelan firms: Petrokariña, Enfriadores de Venezuela, Consorcio Rinoca Centauro Kariña, Consorcio Petrolero Tomoporo and Well Services Cavallino. The remaining two are Helios Petroleum Services of Panama and Shandong Kerui Holding Group of China. The fields in question were formerly operated by Italy's Eni and the French Total.

SCOTUS overturns injunction on travel ban

The US Supreme Court on June 26 ruled 5-to-4 (PDF) in Trump v. Hawaii that President Donald Trump's proclamation restricting entry from particular Muslim-majority countries was "squarely within the scope of presidential authority" under the Immigration and Nationality Act. The court also found that plaintiffs challenging the proclamation were unlikely to succeed on their claim that the ban violates the Establishment Clause of the First Amendment. Chief Justice John Roberts wrote for the majority: "[T]he Government has set forth a sufficient national security justification to survive rational basis review. We express no view on the soundness of the policy. We simply hold today that plaintiffs have not demonstrated a likelihood of success on the merits of their constitutional claim." The ruling overturns a preliminary injunction issued by the Ninth Circuit Court of Appeals in December, which blocked the policy from taking effect. The Supreme Court remanded the case back to the lower courts for "further proceedings."

OAS sees 'crimes against humanity' in Venezuela

There is a reasonable basis to believe that the Venezuelan government has committed crimes against humanity since at least 2012, according to the Organization of American States (OAS). After releasing a 400-page report (PDF) from a panel of independent experts, the OAS will be turning over its findings to the International Criminal Court (ICC) to aid in an investigation of Venezuela for government-sanctioned crimes. The panel documents claims concerning government-supported murder, false imprisonment, torture, sexual violence including rape, and enforced disappearance. The OAS asserts these crimes are part of a plan to suppress the political opposition in the country.

US-sheltered terrorist dies a free man

Ex-CIA asset Luis Posada Carriles, wanted by Cuba and Venezuela for deadly armed attacks, died a fee man in Miami on May 23 at the age of 90. In the news reports of his passing, he was called a "militant" by the Miami Herald, more forthrightly (and predictably) a "terrorist" by TeleSur, and, with extreme perversity, an "actvist" by the BBC. Exiled from his native Cuba after the 1959 Revolution, Posada Carriles dedicated his life to armed counter-revolutionary activity. He was wanted by Cuba for a string of bombings of Havana hotels, and by Venezuela for masterminding the 1976 bombing of a Cuban civilian airliner in which 73 were killed. The US refused to extradite, and he had been for years living openly in the Miami area. In 2014, he was given a medal by the Cuban History Academy at Miami Dade College. He did face some legal trouble when he was accused of lying to immigration officers about how he got into the US before applying for asylum in 2005, but was acquitted in 2011 and spent his remaining years in a comfortable South Florida existence. In the 1980s, he worked with the CIA in covert resupply operations for the Contra rebels in Nicaragua.

New oil shock feared in wake of Iran debacle

After all the talk we've heard in recent years about how depressed oil prices are now permanent, in the wake of Trump's announced withdrawal from the Iran nuclear deal Bank of America is predicting that the price of Brent crude could go as high as the once-dreaded $100 per barrel in 2019. The report also cited collapsing production in Venezuela due to the crisis there. Brent prices have risen above $77 per barrel since Trump's announcement. Prices have jumped more than 8% over the past month and 15% since the beginning of the year. According to the analysis, investors fear that renewed sanctions on Iran could lead to supply disruptions. (CNNMoney, May 10) Although the report failed to mention it, the Israeli air-strikes on Iranian targets in Syria have doubtless contributed to the jitters.

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