control of oil

Bolivia: government divided on Amazon road project

Bolivia's Vice-Minister of Government Alfredo Rada was asked by a reporter from TV show "Levántate Bolivia" June 25 how he viewed the controversial highway that would cut through the Isiboro Secure Inidgenous Territory and National Park (TIPNIS) in light of Pope Francis' recent encyclical on the dangers of climate change. Implicitly referencing the repression of protests against the highway in 2011, which resulted in suspension of the project, Rada responded: "At the time I considered, and still consider, that TIPNIS has been one of the errors of the government." (ANF, June 25; ENS, June 18) Just weeks earlier, President Evo Morales made a statement indicating that the highway project would be revived. At a ceremony marking the 45th anniversary of founding of Villa Tunari municipality, Cochabamba, which would be a hub on the new highway, Morales said: "This road, compañeros, will be realized." Alluding to the neighboring jungle department of Beni as a stronghold of the right-wing opposition, he added: "First, it will liberate Beni. Second, it will bring greater integration between the departments, we are convinced of this." He claimed the project has the support of the governments of Cochabamba and Beni departments, both now controlled by Morales' ruling Movement Towards Socialism (MAS). (La Razón, June 25)

Mexico cracks down on narco-oil

In an open acknowledgement that it cannot secure its pipeline system from plunder by criminal gangs, Mexico's state oil monopoly Pemex announced Feb. 18 that it will no longer pump refined gasoline and diesel through the duct network. Mexico lost $1.14 billion last year to pipeline thefts last year—a 70% increase over the previous year. This is an ominous sign that the drug cartels are becoming the real power on the ground throughout much of the country—moving beyond their mainstays of illicit substances to contraband control of legal commodities like oil and minerals, establishing a virtual parallel economy. Pemex will now only send "unfinished" fuel through its more than 14,000 kilometers of pipeline, reported El Universal. The company said in a statement: "Customers should make sure that the fuel they buy has been delivered from Pemex terminals, and not buy gasoline or diesel from anyone other than gas stations or authorized dealers, given that...it could damage motors."

Arunachal Pradesh: pawn in the new Great Game

Last month's US-India nuclear deal obviously signaled a rise in Sino-Indian tensions, seen by Beijing (accurately) as part of an encirclement strategy. The deal called for inclusion of India in the Nuclear Suppliers Group (NSG), which drew immediate criticism from China. The NSG is comprised of 46 nuclear supplier states, including China, Russia and the US, that have agreed to coordinate export controls on civilian nuclear material to non-nuclear-weapon states. The group has up to now been made up of signatories to the Non-Proliferation Treaty (NPT)—which, as China was quck to note, does not include India (or Pakistan, or the "secret" nuclear nation Israel). More to the point, India is not a "non-nuclear-weapon state." (The Diplomat, Feb. 14; Arms Control Association)

Argentina and Iran in oil-for-terror deal?

Organizers are claiming that up to half a million marched in the pouring rain in Buenos Aires Feb. 18 to demand justice in the case of Alberto Nisman, the prosecutor who was found dead in his apartment exactly one month earlier, just after he had filed a criminal complaint charging that President Cristina Fernández de Kirchner and Foreign Minister Héctor Timerman (among others) had conspired to cover up Iran's role in the deadly 1994 bombing of the Argentine Jewish Mutual Association (AMIA) building. Although slogans against the government were not heard, the "silent march"—called by a group of prosecutors—was seen as a direct challenge to Fernández de Kirchner's administration. Members of Nisman's family, including his eldest daughter, also attended the march. Opposition parties such as the left-wing Broad Front UNEN and centrist Radical Civil Union (UCR) had a visible presence, but prosecutors who had taken on figures close to the Fernández de Kirchner government won the loudest applause, despite the official "silent" nature of the march. Significantly, the Buenos Aires Metropolitan Police—under Mayor Mauricio Macri, who was also at the march—put the figure of attendees at 400,000, while the Federal Police—under Security Secretary Sergio Berni, a member of Fernández de Kirchner's cabinet—estimated only 50,000. (Buenos Aires Herald, BBC News, Feb. 19; InfoBAE, Feb. 18)

Protests as Israel starts Golan Heights drilling

Hundreds of Golan Heights residents and environmentalists from the Society for the Protection of Nature in Israel protested on Feb. 17 outside the Afek Oil & Gas facility north of Nahal El Al, where exploratory oil drilling began the previous night. Afek, a subsidiary of US-based Genie Energy, won Israeli government approval for a three-year lease to drill 10 wells on 400 square kilometers  of the Golan Heights in September. Drilling was planned for mid-January but was delayed due to a court order won by environmental opponents. The Golan Heights is home to Lake Tiberias, Israel's main water source. Genie Energy is run by Effi Eitam, a former right-wing Israeli cabinet minister who currently resides in Golan Heights.

Obama's new offshore plan: don't believe the hype

This week, the Obama administration released a draft of its next five-year plan for offshore drilling—opening up a previously off-limits area along the Southeastern coast, from Virginia down to Georgia, as well as offering many new oil leases in the Gulf of Mexico. And while it would protect some key areas north of Alaska from drilling, it would open other Arctic areas up. The plan designates 9.8 million acres of Alaska's Beaufort and Chukchi seas off-limits to oil-and-gas leasing, and asks Congress to set aside 12 million acres in the Arctic National Wildlife Refuge (ANWR) as "wilderness area," affording another level of protection. Daily Caller is outraged that the Alaskan waters are to be off-limits; Grist is outraged that the Southeastern waters are to be opened up; Bloomberg tries to play it objective. However, read the small print last line of the White House memo on the supposedly new polcy: "Nothing in this withdrawal affects the rights under existing leases in the withdrawn areas."

Mexico: more Pemex contract scandals exposed

Petróleos Mexicanos (Pemex), Mexico's giant state-owned oil monopoly, signed contracts worth $149 billion with outside companies from 2003 to 2012, according to a Jan. 23 investigative report by Reuters wire service; about 8% of the contracts were cited by a congressional watchdog, the Chamber of Deputies' Federal Audit Office (ASF), as having irregularities "ranging from overcharging for shoddy work to outright fraud," Reuters wrote. The problems involved more than 100 contracts with a total value of $11.7 billion.

China sends combat troops to South Sudan

An advance unit of a 700-strong Chinese infantry battalion arrived in South Sudan last week, marking the first People's Liberation Army infantry force  to participate in a United Nations peacekeeping mission. Commander Wang Zhen said the battalion will be equipped with drones, armored vehicles, anti-tank missiles and mortars, among other weapons "completely for self-defense purpose." The force is to be fully deployed by April. Speaking during talks across the border in Sudan's capital Khartoum, Beijing's Foreign Minister Wang Yi assured: "China's mediation of South Sudan issues is completely the responsibility and duty of a responsible power, and not because of China's own interests."

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