Posted on 08/17/2005 6:02:34 AM PDT by minerboy
CARACAS (AFX) - Venezuelan president Hugo Chavez renewed his threat yesterday to suspend oil exports to the US if the US administration steps up its 'attacks' against his government.
In March, Venezuelan officials, including Chavez, made similar threats.
'We do not want to sever links with the US government, but if the attacks keep increasing, as they recently did, this will put at risk the relations between Venezuela and the United States,' Chavez said in a speech yesterday.
Chavez added: 'The two oil tankers that ship oil everyday to the United States might go somewhere else.'
'The US market is not indispensable for us.'
'We have no reason to cut supplies to the US unless Mr Danger (President George Bush) makes us do it,' Chavez said.
Chavez made the comments at a mock trial organised within the framework of a festival 'against imperialism and war'.
Venezuela, the only Latin American member of OPEC, which sends around half of its oil exports, about 1.5 mln bpd, to the US, accuses Washington of being behind a failed coup in Venezuela in April 2002, and recently Chavez has alleged the US intends to assassinate him.
(Excerpt) Read more at forbes.com ...
Well, if we didn't we probably do now.
So the DUmmies DO get their talking points from terrorists and dictators.
Citgo, as many know, is the wholly owned fuel distributor owned by the Venezuelan Communist Government.
These Communists are also our #2 exporter of oil.
He sounds like Cindy Sheehan or vice versa.
What attacks? Gezzz, where do these nuts all come from in this world?
If this guy wants to accuse the US of attacking him, then we may as well make his dream come true. Is he related to that fat boy in N.Korea?
This guy is an ignorant nutbag.
Crude oil is relatively fungible across world markets. Whatever oil he sells elsewhere simply displaces other oil that becomes available to us.
The only thing he hurts is market efficiency, but as a Socialist he has no idea what that is. I guarantee that as he destroys market efficiency in Venezuela no amount of oil revenue will make up for the poverty and ruin in his wake.
Well said
You, sir, get it.
It will go to the highest bidder with worldwide demand outstripping supply.
Yep!
The main reason PDVSA bought Citgo in the first place was that Citgo's refineries here in the US could process the heavy crude and it gave Venezuela a ready customer for their output. I guess they are going to cut off their own refineries in the US?
There is a lot of air in Hugo's threat. You are correct about the Venz sulfur content but their crude oil is the source for the world's best asphalt for shingles (and for which they could set their own price, an industry from which they've mostly withdrawn from. Their stupidity simply amazes me.
This is part of the reason we tolerate Mexicans illegal aliens and bend over for Vicente Fox. We need Mexican oil
Answer:
Oil isn't as fungible as you think. In a dramatic oil supply squeeze you will find it's fungibility dropping
You're mixing up two different things, dennis. An oil squeeze has nothing to do with the fungibility of oil, which is demonstrably true.
If oil is so fungible, in all times, all places, then how come the Chinese are busy signing ,long term oil supply contacts with our enemies and taking actions in other countries to tie up their future oil supplies? Maybe they know something you don't?
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