Posted on 05/25/2008 3:40:41 PM PDT by Diana in Wisconsin
Thanks, Alan. (I think!)
+ Mexico nationalized its oil industry in 1938 and created state-run monopoly Pemex. Mexico has some of the tightest restrictions on private investment in energy in the world, with stricter rules than Cuba, China and Russia.
+ Mexico’s oil reserves are declining due to years of low investment under seven decades of one-party rule until 2000. Today, Pemex discovers only one new barrel of oil for every two it extracts.
+ A refining shortfall means Mexico imports 40 percent of its gasoline. It also imports some natural gas.
+ Taxes on oil exports fund nearly 40 percent of government spending, but having to hand over more than half its total revenues has held back Pemex’s spending on exploration and new refineries. Two recent tax cuts slightly eased Pemex’s burden.
+ Mexico produces about 3 million barrels of crude per day, down from a peak of 3.4 million bpd in 2004, and exports about 1.5 million bpd, making it the world’s No. 9 oil exporter.
(Reporting by Jason Lange and Catherine Bremer; editing by Carol Bishopric)
I’m not scared. I know congresscritters like Maxine Waters will have the answers to solve these big problems.
Socialism doesn’t work.
The ten years from discovery to delivery everyone seems to be stuck on is not true in all cases. Especially in an offshore operation. As for ANWR, they already know where to drill and the Prudhoe Bay field, that is the start point for the Trans Alaskan Pipe Line, is not that far away. I bet they could do it in far less than 10 years, three or four, especially if it became a priority!
It's run by socialists. Of course it was mis-managed. PJ O'Rourke once said something about the Soviet Union's economy being like a top fuel dragster doing burn outs on your lawn - expending lots of effort, but going absolutely nowhere.
the United States and other oil importing nations are literally at the mercy of governments that do not have to answer to their citizens.
The United States government doesn't answer to its citizens any more, either.
Yes, perfectly true. And when the money from oil revenues really starts to decline, the Mexican government will predictably start taxing and confiscating other foreign investments, because they certainly aren’t going to make those billionaires or drug lords pay any taxes. The economy will spiral into a worse decline, no doubt leading to unrest and revolution. Ugh.
Another salient point is that the US hasn’t been much better than Mexico in developing its oil resources and refineries in the past 16 or 20 years. Our government seems determined to head down the same failed path as Mexico.
A politician or bureaucrat cannot be relied upon to make good investment decisions, because his horizon does not extend past the end of his term of office.
Man, she’s an idiot, isn’t she? I literally CRINGED listening to her stupidity the other day when she was grilling oil execs. I give them full credit; I would’ve full-out laughed in her ignorant face!
Hey, I know- let’s send Mexico 1.4 Billion dollars to fight their drug war. That’ll fix all their problems. /s/
While on FR listening to John Batchelor talk show who is great on politics and world affairs on WABC NYC
Anyways, I live in San Diego and around 15 miles north of the border with Mexico - Tijuana.
The killings, kidnappings, beheadings, etc is out of control
Army troops in the streets south of me, up to 14 a day killed.
The corruption, drug cartels, etc. has been out of control for decades. In the mean time San Diego tax payers shell out mega millions a year supporting illegals. WE are more than fed up.
Theres a braintrust!
When Maxine discovered toilet paper for the first time, she screamed because she thought she was melting!
Hell, if I’d have know’d that Alaska wuz so close to South Carolinny, I’d have visited there a long time ago!
It makes so much sense sending $1.4 billion to Mexico from our deficit filled budget. I don’t know how the thieving scumbags in Washington can justify this on top of the billions already spent on illegals every year? We should just send our taxes directly to Mexico since they suck up so much of them.
“sending $1.4 billion to Mexico from our deficit filled budget”
California spends that a year funding illegals in Medical, and general social welfare and we are supposed to take it and like it.
This is why the Duncan Hunter double fence needed to be continued long ago rather than others putting on the brakes on it.
Our congresscritters are going to allow this illegal invasion to go full stroke in another year from now, no matter who wins the White House. It’s all about wielding social services power over a massive voting demographic, reminiscent of FDR and LBJ’s socialism. We think we have it bad now? Wait until we have a couple of million illegals a year storming across the border in to escape their repressive regime and the drug gangs. Mexico is a 3rd world s*&thole and it’s about to turn the US into one as well.
US management of its oil resources is no better than Mexico’s. For us the “corruption” is environmentalism and MIMBYism. The effect is the same as with Mexico’s more traditional forms.
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