Latin America has a repeated history of veering to the left and then to the right. I have a few shares of Great Panther Resources, which has taken over a large silver mine in Mexico that was earlier taken over by the workers some years ago and run into the ground.
There's plenty of ore, a machine shop, the works, but the workers' unions were just too greedy to sustain the operation. They ran it into the ground and put everyone out of jobs.
So, now they have let a Canadian company come in, buy it, and run it right. Then, no doubt, a certain number of years down the line, when it is humming along and dividends are rising, there will be political pressure to nationalize it.
It's anyone's guess just when these all too common political revolutions will play out. Some South American countries are still pretty healthy, but the Hugo Chavez disease is catching.
Time for Executive Action?
The Mexican constitution prohibits foreign ownership in the energy sector.
"Nationalization or Eminent Domain?"
Neither. It's 'Armed Robbery'.
Mexico is corrupt, but is also the tenth richest country. They wouldn't want to nationalize at this point since it would eliminate the substantial portion of the income derived from bribery.
I don't know how to start a thread 9perhaps you could?) - but figured this was a good thread to mention that I just heard on Fox News that Bolivia sent in its troops to take over the oil fields. Next will come talks with foreign oil companies.