This is interesting ... especially in light of the BP oil spill.
You read that headline correctly. Unfortunately, the Obama Administration is financing oil exploration off Brazil.
The U.S. is going to lend billions of dollars to Brazil's state-owned oil company, Petrobras, to finance exploration of the huge offshore discovery in Brazil's Tupi oil field in the Santos Basin near Rio de Janeiro. Brazil's planning minister confirmed that White House National Security Adviser James Jones met this month with Brazilian officials to talk about the loan.
The U.S. Export-Import Bank tells us it has issued a "preliminary commitment" letter to Petrobras in the amount of $2 billion and has discussed with Brazil the possibility of increasing that amount. Ex-Im Bank says it has not decided whether the money will come in the form of a direct loan or loan guarantees. Either way, this corporate foreign aid may strike some readers as odd, given that the U.S. Treasury seems desperate for cash and Petrobras is one of the largest corporations in the Americas.
But look on the bright side. If President Obama has embraced offshore drilling in Brazil, why not in the old U.S.A.?
That was from August 2009. Here's more coverage from then.
Team Obama Funds Oil Drilling Project in Brazil… Nixes Offshore Drilling In US …Update: Soros Invested Heavily in Petrobras
Team Obama approved a nuclear energy program for the UAE in May.
But, Obama and the Pelosi-Reid Democrats will not allow nuclear energy expansion in the United States.
Already this year democrats banned offshore drilling, scrapped oil and gas leases in Utah and opened the 111th Congress by introducing a bill to permanently prohibit drilling in the Arctic National Wildlife Refuge (ANWR).
But, Team Obama is going to lend billions of dollars to Brazil to finance exploration of its huge offshore oil field discovery.
Over the past 30 years:
Democrats have blocked the development of new sources of petroleum.
Democrats have blocked drilling in ANWR.
Democrats have blocked drilling off the coast of Florida.
Democrats have blocked drilling off of the east coast.
Democrats have blocked drilling off of the west coast.
Democrats have blocked drilling off the Alaskan coast.
Democrats have blocked building oil refineries.
Democrats have blocked clean nuclear energy production.
Democrats have blocked clean coal production.
But, they’re funding projects in Brazil.
The loan is equal in value to a similar credit line agreed to with the China Development Bank, also for exploiting Brazils pre-salt area, so-named because the estimated 80 billion barrels of high-quality crude in that new oil frontier lie far beneath the ocean floor under layers of rock and an unstable salt formation.
Under the agreement with the Chinese state bank, finalized during Brazilian President Luiz Inacio Lula da Silvas visit to Beijing in May, Brazil can repay the loan facility with oil as opposed to cash.
Petrobras plans to invest close to $29 billion through 2013 to develop the pre-salt deposits in which the company already holds concession rights.
Petrobras is projecting that some 1.3 million barrels per day can be extracted by 2013 from the pre-salt fields and 1.8 million bpd by 2020.
But Brazil has been forced to seek external financing because the fields pose an enormous technical and financial challenge due to the depth and thickness of the salt and the drastic changes in temperature as the oil is brought to the surface.
The government has absolutely no conception of risk. But here's the crazy part. I mean, there's no way George Soros is involved with this. Right?
As reported at Bloomberg.com, George Soros purchased an $811 million stake in Petroleo Brasileiro SA (PBR), (better known as Petrobras) in Q2. The Brazilian oil company is now the largest holding in his fund, amounting to 22 percent of the total $3.68 billion of stocks and American depositary receipts held by Soros Fund Management LLC.
Oops. Soros did it again.
Barack Obama has chipped in $2 billion in loans to exploit offshore oil resources in hopes of extracting a major new source of petroleum…in South America.
Corporatism. It's a scam.
Saturday, June 19, 2010
BARACK'S SOROS PAYBACK ? ? ? ? Did Barack Obama Shut Down Gulf Drilling as a Payoff to George Soros?
From the Classical Liberal comes a suggestion of an extraordinarily disturbing corruption scenario that ought be investigated come January 2011 by a newly configured Congress, given that sock puppet Eric Holder can be counted upon to do NOTHING AT ALL to put puppet master Soros in any penal jeopardy.