Posted on 07/30/2006 3:55:25 PM PDT by FARS
The Iranian government newspaper, "Investment" writes that Iran has taken the first steps to increase production of gasoline inside the country with a view to cutting off imports of this strategic item through joint investment of foreign and internal funding, which will begin to stem the flow of foreign exchange leaving the country.
Currently, $15,000,000 a day of the country's oil revenues go to toward importing gasoline. This equals 30 million liters of the 70 million liters used daily in Iran, if calculated on a constant 70 million liter usage. When we add the summer driving and seasonal travel, which comes to about another four to five (5) million liters a day, the outflow of foreign exchange for gasoline imports becomes even more significant.
Ahmadi-Nejad, who shortly after being elected, became aware of this huge drain by the cost of subsidizing this strategically important fuel import, gave instructions to speed up the increase in refining capability, begun during the time of (former Oil Minister) Zanganeh. As a result, the refineries at Abadan and Bandar Abbas have been included in the expansion plans and the Arak refinery has been put on the list.
Based on the projections of the Ministry of Oil, the intended expansions and refining increases of gasoline will result in Iran being self-sufficient by the end of the year 1388 (2010) and would no longer need to import this strategic item. Presently 40 million liters (of the 70 million consumed) are refined inside Iran. The Oil Ministry has now taken action in the expansion of capacity by purchasing foreign technology and developing internal capabilities. This time, the Arak refinery will be equipped with foreign technology in its expansion and operation and use Chinese methodology in a heavier production process so that the unit will be able to increase current production levels.
After oil, the Chinese have now become involved in refining in Iran. The well-known Chinese oil company, SINOPEC, will execute the expansion project and also be an investor. The Vice-President of SINOPEC announced in an exclusive telephone interview with "Investment" that a team of representatives of the company would arrive tomorrow (Sunday) in Iran to sign the contract for investment and expansion of the Arak refinery.
Jin Jiang Wuy noted that this contract between China's SINOPEC and Iran's Refining and Distribution was just a beginning.
A $100 Billion memorandum of understanding for the export of Iranian liquid gas to China has been initiated so that SINOPEC, in addition to an increased presence in oil exploration, which has a contractual value of over $100 Billion, will invest and transfer knowledge and technology in the basic methods for oil related production of items such as gasoline. Thus, the co-operation between the two countries will result in Iran becoming self-sufficient in gasoline requirements and be freed from the years of suffering in having to buy products which the rise in crude oil prices have pushed up.
The ability for China's SINOPEC to maneuver with Iran has increased and the signing of the contract can be expected to rise to an eye-catching $102 Billion. Jin Jiang Wuy, commenting on the proposed signing of an agreement, said the talks beween Iran and China are ongoing and the "actual implementation of the expansion of (MDP) has not reached a full consensus". Wuy stated he was very hopeful that the contract to explore and develop the Yadavaran oil field, which has reserves of 17 Billion barrels of oil, is in place between the countries and will soon be signed.
The Yadavaran oil field has also been included in the $100 Billion Iran-China energy distribution memorandum of understanding which will extend Iran's daily oil production by 300,000 barrels a day.
With their potential investments of some 200 BILLION dollars, China is even less likely now to allow any intervention or UN resolution ginst or into Iran without perhaps declaring war to protect such heavy investment and their national interests.
Was this being seen on the horizon the reason why the West seems to have totally deflated in pursuing anti-nuclear action against Iran? Of pressuring Israel instead of the "Iranian" Hezbollah? Or the "Iranian" Hamas? Or the "Iranian" Al Qaeda in Iraq. Or the "Iranian" Sadr fighters in Iraq? It's not by nationality but by the nationality of their masters that these terrorist groups should be known.
PING - what a geopolitical mess we face.
I find that rather amusing considering what the PRC does to Moslems in far western China.
This won't matter if the Iranians keep elevating their threats to Israel and continue their nuclear program....the gloves are about to come off and the balance of the civilized world (West that is) better be ready to help provide the knock out punch. It is inevitable, regardless of the world economic mess that results. The Chinese maybe one of our largest trading partners (dumb Americans) however they are hardened communists and were, are and will continue to be our enemy. Don't kid yourself.
The Chinese maybe one of our largest trading partners (dumb Americans) however they are hardened communists and were, are and will continue to be our enemy. Don't kid yourself.
------
The ChiComs are taking every opportunity to position against the USA. This is not new to anyone who opens their eyes and ears. Iran is a shill of China, and Russia for that matter, that simply needs to be taken down.
Making Red China wealthy was foolish beyond words.
bttt
This alone will prevent Iran from going to war. Such a war would threaten to close the Persian Gulf to oil shipping, and that would threaten a large part of China's oil supply. Iran would not like China to send its army to stabilize the region.
>Making China wealthy was foolish beyond words.<
But, if you are a Globalist, it was brilliant. The New World Order wants strong Totalitarian countries. If our government wanted to preserve our great and good Constitutional way of life, it would vote to tap from our own oil rich Alaskan North Slope and Prudoe Bay. If they do not, they are overtly thumbing their noses at the oath of office each took, selling us all down the river.
Iran would not like China to send its army to stabilize the region.
It appears to be getting more difficult every day. But what is it that appears more difficult but keeping a lid on the situation? The ultimate show is still the same and Iran is still a bit player.
And people still defend wallmart. Pleased that they are routinely turned down to build in my community.
2 billion chinese praying to mecca five times a day. Priceless.
I agree with you. However, there are others posting here on FR that love shopping at Wal-Mart. They become very abusive when you suggest our foreign trade policy created monsters. China is getting rich. Mexico is shipping its most violent people here in trucks escorted by the military. The Zetas control all border traffic. Congress does nothing about it except hold their hands open for more cash contributions.
I recently heard that the Vietnamese were underbidding Chinese labor and some companies were relocating to Vietnam.
Dictatorship of the proletariat seems to get you minimum wage, and I do mean the minimum.
Selling them nuke secrets was even worse.
The Chinese have signed billion dollar oil deals with countries in South America, too.
Can you refresh our memory which countries are now entangled with the PRC?
I thought the name SIN-OPEC was a joke, but its not...
http://english.sinopec.com/en-company/index.shtml
If we didnt by chinas knock off merchandise someone else would.
Now, consider that walmart pays a chinese manufacturer 5 bucks to make a product and ship it here.
Walmart sells the 5 dollar product for 100 bucks.
The customer pays 8 dollars in tax and the gov gets say another 20 dollars from walmarts income tax.
Who's getting richer?
Im not trying to pic a fight,I'm just wondering aloud.
I saw this myself in the late 1960's when I was working on my MBA. Professors were bragging about the "ideal model" of planned obsolescence back them. Bragging about how they had achieved scientific perfection in timing how long a car or truck would last. Every part of every car was designed to wear out on schedule. Everything was mapped out on computers. In 1967 computers were about to take over the world.
"But what about the Japanese model of cars designed to last longer than 100,000 miles?," I asked. The prof insulted me and told me that his comments were important and would be tested later. Toyota's alternate model of perfection took the over market in the 1980's. Twenty five year later, Chrysler is now controlled by Germany and the company is in flux. The U.S. side of the business is failing . No big deal, anyway. Detroit's Ford and GM have to practically give away their trucks and automobiles. Television ads are running 24/7 touting: "Employee discounts for everyone," free financing or no interest loans, $ 2,000 cash rebates, this hot jingle: "zero down, zero interest . . ." In the meantime, China will begin exporting new autos to the U.S. next year. Here Come Chinese Cars
Don't wait. Run to your nearest Chery Automobile Company showroom. Sign up now!
Pension and retirement programs for U.S. workers have imploded. Abolished. Gone the way of the dinosaurs. Today you only have your 401(k) programs. Most U.S. workers get very bad investment advice or are subtly influenced (or forced or pressured) to buy company stock. Which means that 401(k) programs are subject to both awesome market risks and psychological pressure exerted by management. Workers are fighting the big boys in power at every turn. What's going to happen when the next R-word (recession) comes? Or, God forbid, the stagflation monster again rears its ugly head? But that subject is verbotten. Nada por nada. 'Nuff said.
Now only the wealthy corporate officers at the top get to keep their pensions and golden parachutes. What was the golden parachute of Exxon's retired former CEO? $ 400,000,000? Or roughly $ 167,000 per month. Was that about right? It does not matter anyway.
But don't listen to me. What do I know, anyway? I'm just a geezer from Oregon.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.