Posted on 07/16/2005 2:31:59 PM PDT by radar101
China's third-largest oil company has run into roadblocks in both houses of Congress over its bid to buy California's Unocal Corp.
Sen. Byron Dorgan, D-N.D., introduced a bill in the Senate on Friday that would bar the Chinese National Offshore Oil Co. from buying Unocal.
The 70 percent government-owned CNOOC has presented an $18.5 billion unsolicited bid for the U.S. oil and gas firm.
Rep. Richard Pombo, R-Tracy, said he plans to introduce an amendment to the House's Energy Policy Act of 2005 that would intensify scrutiny of Chinese policies.
Pombo's 11th District encompasses the San Ramon headquarters of Chevron Corp., which has bid about $16.5 billion for Unocal. That offer has already passed muster with U.S. regulators.
In a Senate speech Friday, Dorgan cited national security concerns, as well as the need for a level playing field for U.S. companies operating in China.
"This really isn't very complicated,'' Dorgan said. "Unocal is located in the United States and has approximately 1.75 billion barrels of oil. It would be foolish, to say the least, to allow a foreign government ... to own that much of such a strategic resource so vital to the U.S. economy and the national defense.''
"Given this unlevel playing field,'' Dorgan said, "China should be barred from owning a U.S. oil company, at least until it allows American companies to purchase controlling interests in Chinese energy companies.''
Pombo's amendment would require U.S. investigators to determine the extent to which Beijing subsidizes Chinese investments in a variety of U.S. assets.
Congressional rhetoric against the bid "is a bunch of bunk,'' said Mark Denbow, who helps manage CNOOC shares at USAA International Fund, a San Antonio firm. "The energy market is completely fungible. It's not like they are going to corner the market.''
(Excerpt) Read more at sfgate.com ...
China just said they would nuke us over Taiwan. I would block it.
No Mexican should own oceanfront property in the USA.
All Korans should be confiscated at the 'entry point' of a Muslim into the USA.
The Red Chinese can own an American Company when we can own one in Communist China... Need I go on?
Non sequiter?
We went from Chang-kai-Shek to a Shanghai-ed Shmuck (Mr. Denbow) in one generation.
If we 'defeated' the Soviet Union by bankrupting them...How do we expect to defeat China by making them RICH?
Bump
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