Posted on 04/17/2014 8:44:54 AM PDT by Hostage
This report is exclusive to freerepublic.com and is intended only to pass observed on-the-ground information to readers. It is not carried on any major news outlet and it won't be in our opinion. You can file this report as conspiracy if needed but it is more suitably filed as accumulation of unexplained Fed action for future analysis. I do ask relevant and pertinent questions throughout the question that Freepers can help answer.
One question for which I have affirmative answers is can the federal government move in on oil and gas drillers and takeover at any time declaring any oil discovery to be part of the strategic reserve?
The report comes from one of my business partners doing business on behalf of our company in the North Dakota Bakken region where he was astounded to find on Tuesday of this week outside Stanley ND that a six-pad well, the largest in the entire Bakken region, had hit an 'OCEAN' of oil causing all six wellheads to gush out of control.
The six well heads were quickly taken care of by the drilling company but on the same day it is reported that federal officials swooped in and shut the wells down declaring the oil discovery as under federal control and made part of the strategic petroleum reserve. I am told the drilling companies and investors behind them will be compensated but we have no details. We are told no one will hear about this.
If all the above is true, then I lean towards believing the blackout on news is true because my experience in doing business there in the recent past has led to hearing many accounts of national security protections regarding location of oil including details of logistics, pipeline and rail facilities. In other words information is not widely disseminated for either reasons of national security or commercial competitiveness.
There are business 'bullies' in the region who think nothing of cutting out, double crossing and tripping up business entrepreneurs in the region, of misrepresenting their intentions. of breaching contracts and agreements, of circumventing and breaching non-disclosure by handing private information to third parties that act against other businesses. It's a classic 'wildkat' environment with different parties heating up to cheat and fight each other.
I have not heard of the federal government acting as a 'bully' in the region but there is a report of federal gunships on the road witnessed by my partner on I-94 between Dickinson and Bismarck. I would not be surprised to learn of our federal government backing 'selected drilling businesses' in the region. That would sound like conspiracy nonsense to me had the federal gunships' not been witnessed driving on the road by my partner. More on this below.
The report is that drillers had drilled 22,000 feet deep (yes, many miles beneath the surface) and hit an 'OCEAN' of oil as it was described. The proven reserves of oil in the Bakken shale formation are already at least ten times that of Saudi Arabia. If the report of hitting an 'ocean of oil' is true, then this would make the Bakken bigger than anything the world has ever known.
Next it is reported that on the same day of the strike that federal agents swooped in to shut the wells down and take over the drilling site. How could they have known so quickly? Is there a requirement to report to the county, state or federal governments immediately upon striking oil? I admit I could find out about this on my own but I am involved in so many business deals spanning the globe that I haven't had time to get answers.
I have met drillers on-site in the Bakken but I don't call them with pestering questions because they are usually a terse no-nonsense bunch. And asking them for information can get some nasty glances as if I were asking a pro poker player what cards he holds in his hand. Not only that but some will lie through their teeth to steer an outsider in the wrong direction. So it's serious business out there with a bit of pirate spirit and honor of thieves in the mix.
I could call state offices in North Dakota to get answers but I can just as easily search for online rules and procedures but that's time consuming for me. So I thought to throw these questions out to Freepers who may know answers from their experience and in any event can add this report to their pile of anecdotes regarding federal militarization of agencies inside the borders of the USA.
After leaving Stanley my business partner headed for I-94 towards Bismarck and called me to report he was behind a very long convoy of federal vehicles with multiple 'gunship' vehicles leading and tailing the convoy.
Trust me on one thing. you can see a long distance ahead on roads in North Dakota. Do a Google street view on I-94 going towards Bismarck and you can confirm that the view ahead is for miles and the roads are very straight, there are almost no trees and the land is flat.
I asked him what was in the middle of the convoy, could he see it? He said there were 'cars with officials' bracketed by multiple gunships on each end. His voice tome was one of shock and awe. I asked how he could see this on a straight road and he said when the road would be in a long curve he could see the whole convoy. I asked him how long the convoy was and he said AT LEAST a half mile and most likely longer.
I asked him could he identify the agency. He said it looked like it was the US Army but it wasn't because there was no Army star on any of the vehicles and the troops manning the gunships wore different uniforms.
I will get more of a brief from him when he returns to Seattle this weekend.
Now here's my analysis. Some may think it conspiracy, I call it points of speculation surrounding facts. Connect the dots as you will.
1. Enormously large oil strikes can throw oil markets into turmoil causing severe price volatility. Although oil futures are controlled by JP Morgan and others through a maze of derivatives. The influence of large oil strikes can penetrate the price control mechanisms and damage all the interests of derivatives behind them.
2. I believe the price of oil is to a great extent 'rigged'. Take that for what it's worth.
3. Oil as a commodity is 'controlled' to a certain price level to balance inflation with economics. If the price is too high, inflation can be difficult to manage. If the price is too low, shale drillers using hydraulic fracturing technology 'fracking' can go out of business.
4. Environmentalists especially militant ones, the same ones who control Obama, want to shut down as much drilling as they can. They have already pretty much locked drillers 'frackers' out of California. I believe environmental extremists would like to see a good portion of us die actually. Wiping out human traces as a solution to problems underlies I believe a good portion of the foundation of their philosophy.
5. A manager of one of the USA's largest oil logistics companies remarked last week direct to my ears that environmentalists told Obama they will 'crucify' him if he issues a presidential permit for Keystone to go forward. Another top logistics manager of a company with offices in Wyoming, Montana and Colorado made the BIZARRE statement to me in a hostile tone over the phone that NORTH DAKOTA CRUDE STAYS IN NORTH DAKOTA! In my experience I am getting close to federal influence when people start acting belligerently without good reason.
6. In 2008 Obama said what is needed is a civilian army as large as our military armed forces. We are witnessing the militarization of a plethora of federal agencies. We are witnessing the federal purchase of enormous quantities of ammunition including by such GSEs as the US Postal Service which seems bizarre.
7. We are witnessing a never-ending attempt to disarm Americans outside of federal and state control.
8. We are witnessing budding range wars and skimishes between federal officials and citizens.
9. And now there is a witness to the shutdown of perhaps the largest oil strike ever on record together with a witness a day later of a long federal militarized convoy on an interstate just outside an area where the enormously large oil strike was reported.
The firm takeaway from the above is a federal shutdown of a large oil strike and a federal military like convoy on an interstate a day later out of the region of the oil strike that was reported to have been shutdown and taken over.
bookmark
A new national monument by executive order?
ping for input
One reported fact regarding the federal convoy on I-94 is of helicopters circling overhead around the convoy. I know it sounds like black helicopters that is mockingly used by those that laugh at conspiracy nuts. But my partner reported that not only where there multiple multiple gunships on the ground but also helicopters circling overhead. My partner does not drink and drive and he doesn’t do drugs for what it’s worth.
I will refer to our resident expert, but the Bakken shale formation does not produce oil that just “gushes out of control.” You have to go get it.
I will follow up when I get home.
Access to VERY interested and involved parties there.
This will NOT be quiet for long.
That was before the internet and keeping this quiet, if there is anything to it, will be infinitely more difficult.
Bookmark for later
Your comments if you feel so inclined.
I agree but this may be an exception. It may also be misreported.
But one thing is for sure, a large militarized federal convoy, not the US Army, was followed a day later on I-94 just outside the area of the reported strike.
When you gunships, you mean MRAPs? Big armored trucks from Iraq/Afgh?
If they are going to exploit something like you describe, they will do it entirely using contractors.
The chances of this being accomplished in secrecy are approximately zero, at least for more than a week or two.
If they are just going to lock it up, fine. But are they going to lock everything up everywhere? Strikes me as unlikely.
They need the tax revenues too much.
That was the impression. We will try and confirm this weekend when he gets home from driving.
If there is an ocean of oil there, more than one rig can access it. In order to restrict it they would have to create broad restrictions that’s would be noticable.
If the wells/discovery were made on private property, the Feds have no jurisdiction. The oil beneath the privately owned land is owned by the private owners of the mineral rights and their ‘Lessee’s”, the Oil companies, drilling the well under lease agreements signed between the mineral rights owners and the oil companies. This is well established in property and oil & gas law.
If the wells/discovery was on Federal lands, typically administered by the Bureau of Land Managment or the Bureau of Indian Affairs, then anything is possible. Those wells would have likewise been drilled by authority granted under lease agreements signed between the BLM and the Oil Companies, but it is conceivable that the Gov’t could simply unilaterally abrogate those agreements and leave the aggreived parties, the oil companies to seek redress in the Gov’t’s Courts.
Of course, in the perfect “Statist’s” world, the “citizen” owns nothing and all resources and land are owned by the State as was the case in the USSR. In Canada, all minerals and, I think water, are owned by the Crown.
There’s little doubt in my mind that the Obamanistas have discussed amongst themselves the possibility of nationalizing the Oil Companies, much as Mexico did in the 1920’s. I’m not quite sure what’s stopped them; they may be waiting for a national emergency to do so.
It was reported or misreported that the drill site and oil find would be made part of the strategic petroleum reserve.
That could mean it will be locked up. I would speculate that the environmentalists that control Obama will want it locked up.
The Strategic Petroleum Reserve does not include any production fields.
It is only salt dome storage of oil that has already been produced and processed to remove water, gas, etc.
From last month:
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