US Senator (Dick Lugar) warns Venezuela on oil cut-off

Daily News ^ | Feb. 13, 2008 | Staff

[jdm]

Senator Dick Lugar, Ranking Member of the US Senate Foreign Relations Committee, Wednesday issued a statement in response to threats made by Venezuelan President Hugo Chávez to halt oil shipments to the United States and the declaration last Tuesday that Venezuela would discontinue oil sales to Exxon refineries.

"I urge the government of Venezuela to maintain this discussion within the legal framework that ExxonMobil and Venezuela's state-run oil company, Petroleos de Venezuela SA (Pdvsa) chose to resolve their differences," Lugar said in a communiqué published on his official website.

Lugar urged the parties to resolve their dispute without creating further disruption to global oil markets. "Stability in oil supplies being traded freely in the global marketplace is vital to the interests of both importing countries and exporting countries," Lugar said.

According to Lugar, the possibility that Venezuela is no longer seen as a reliable trading partner "could be catastrophic" for its domestic production, particularly as it attempts to develop technically-challenging heavy oil reserves.

In the document, Lugar warned that "the people of Venezuela could suffer tremendously and its economy could be crippled if oil revenues are lost. This was highlighted in the Government Accountability Office (GAO) report I requested three years ago."

Senator Lugar requested in November 2004 that the US Government Accountability Office (GAO) examine the prospects for a Venezuelan shut-off of oil exports to the United States and the United States government capacity to respond. The report was released June 27, 2006.

[Vigilanteman]

Chavez needs to take a dirt nap sooner rather than later.

[dr_who_2]

Rather softly worded for a threat.

[Army Air Corps]

El Pendejo Loco isn’t terribly bright. Someone in his own country may pop him for this.

[Young Scholar]

Chavez will not cut off oil to America. We have most of the refineries that can process it, meaning he would be unable to sell it anywhere then, and his government is already teetering on the brink of financial ruin.

[Mind-numbed Robot]

Lugar has been out of touch for a long time. Screw Venezuela!

[Westlander]

Pat Robertson was right.

[LetsRok]

Can you say “naval blockage” of Venezuala??? Don’t sell to us, don’t sell to anyone.

[Brad from Tennessee]

Al-Shahrastani (Iraq’s Oil minister) expects a rise in Iraqi oil production in 2008:

http://www.iraqupdates.com/p_articles.php/article/26670

Venezuela currently produces about 3 million barrels per day. Iraq should equal that in 2009.

[daylilly]

Lugar is one of the dim bulbs who voted agains drilling in ANWR. He doesn’t get it even now, I don’t think.

[eyedigress]

particularly as it attempts to develop technically-challenging heavy oil reserves

That's a pretty Heavy statement.

[bajabaja]

So Chavezista oil needs special refining, making it less than fungible.

He can try to sell his crude elsewhere, but will have less luck than the US purchasing from other sources.

For all his bluster, he doesn’t get much accomplished, except shooting himself in the foot.

Thanks for that info.

[Sudetenland]

Washington - Senator Richard Lugar (R-IN) today issued a warning to Venezuelan President Hugo Chavez not to interfere with the free flow of Venezuelan Crude to America.

Senator Lugar warned that consequences would be dire, almost certainly resulting in a "very stern warning" from the Senator's office.

Senator Lugar stated, "Should President Chavez fail to heed our 'very stern warning,' an even more strongly warning would follow."

Should President Chavez fail to heed that Senator Lugar stated that the Senator would issue a really very strongly worded warning...developing...

[Young Scholar]

Just stuff I’ve heard elsewhere—I’m definitely not an expert. But either way I doubt it’s a big deal. The markets seem way more concerned about news out of Iran than out of Venezuala.

[RedCell]

Exactly!

http://www.captainsquartersblog.com/mt/archives/016173.php

[fish hawk]

What would you expect from a Liberal RINO?

[MinuteGal]

Sen. Lugar is about 200 kernels short of a cob.

He probably thinks that all that thar corn in Indiana will be fueling the needs of the United States in a couple of years from now and we don't have to drill nohow, nowheres and be upsettin' all them mooses in Alaska.

Leni

[AmericanExceptionalist]

Personally, I wish we would beat Uncle Hugo to the punch, and simply refuse to buy any more oil from him. Even if that caused the price of gasoline to spike a bit in the US, I would be happy to pay more, just to make the point.

The US whould refuse to be beholden to its enemies. Under any circumstances. Ever.

No exceptions, no matter how great the inconvenience.

[markomalley]

Personally, I wish we would beat Uncle Hugo to the punch, and simply refuse to buy any more oil from him. Even if that caused the price of gasoline to spike a bit in the US, I would be happy to pay more, just to make the point.

Me, I refuse to buy Citgo

[Kakaze]

WoW thats the most "action", we in Indiana have seen from Lugar in a long time.

Very forceful Dick, did you write it in red crayon, just to get Hugo's attention?