EXCLUSIVE: U.S. Government Loaned Mexican Government More Than $1 Billion to Drill Oil in Gulf of...

cns news ^ | 9/8/10 | Matt Cover

[Nachum]

(CNSNews.com) – The U.S. Export-Import Bank, an independent federal agency, loaned more than $1 billion to the Mexican state oil company PEMEX in 2009 to support the company’s oil drilling in the southern Gulf of Mexico. The bank has another $1 billion in loans in the pipeline for 2010, unless Congress objects.

On May 27, after the British Petroleum oil spill, President Obama imposed a moratorium on U.S. deepwater drilling in the Gulf, effecting 33 deepwater drilling rigs in the region.

[thackney]

There are far more experienced and bigger players than you seem to realize. We compete on a global market with real competition.

[houeto]

Let me know if you would like to be on or off the ping list

Right now, I think I'd just like to throw up. This makes me sick.

[crusty old prospector]

They must only work in the Dead Sea, i.e. North Sea.

[houeto]

How about Aker Solutions? They are onsite at the Macondo well as we speak. From their website:

"Aker Solutions is a leading global provider of engineering and construction services, technology products and integrated solutions. The business within Aker Solutions comprises several industries, including Oil & Gas, Refining & Chemicals, Mining & Metals and Power Generation.

The parent company in the group is Aker Solutions ASA. Aker Solutions has aggregated annual revenues of approximately NOK 54 billion and has approximately 22 000 employees and 8 500 contract staff in about 30 countries.

Aker Solutions is part of Aker (www.akerasa.com), a group of premier companies with a focus on energy, maritime and marine-resources industries. The Aker companies share a common set of values and long traditions of industrial innovation. As an industrial owner controlling 40.27 percent of the shares in Aker Solutions through Aker Holding AS, Aker ASA takes an active role in the development of Aker Solutions."

[crusty old prospector]

Did Mexico ask Norway’s E-I bank for any dough? I am pulling everyone’s chain as far as pleading ignorance about other multi-national service companies. My point is that Mexico is the FIFTH largest producer of oil in the world (we are third.) Why do they need a loan? Why can’t they just live off of current cash flow?

[FReepaholic]

...an independent federal agency...

What does that mean? Independent of what? If it's a "federal agency" it ain't "independent".

[Nachum]

Right now, I think I'd just like to throw up. This makes me sick.

You aren't alone.

[Hoodat]

U.S. Government Loaned Mexican Government More Than $1 Billion to Drill Oil in Gulf of Mexico

And to pay for it, they slapped an 18% excise fee on all American oil that is extracted from the Gulf. (The Mexican oil company is exempt from paying the 18% tax.)

[1rudeboy]

I am pulling everyone’s chain as far as pleading ignorance about other multi-national service companies. My point is that Mexico is the FIFTH largest producer of oil in the world (we are third.) Why do they need a loan? Why can’t they just live off of current cash flow?

No, you are not. Your central contention is that Ex-Im Bank need not have loaned the money to Pemex in exchange for agreements to hire Americans, use American firms, and buy American equipment, because Pemex would have done so on its own, anyway. "We are the only game in town," and all that. It appears that we are not.

So what game are you playing?

[crusty old prospector]

The game I am playing now is called Clue. Like, get one.

[1rudeboy]

From where I sit, the game you are playing is, "Back Away as Quickly as Possible Before Anyone Else Notices I Have no Clue."

[crusty old prospector]

I’ll repeat the question. Irregardless of whether the Mexicans hire Americans, Norwegians, or Cambodians, they are the FIFTH largest producer of oil in the world. We already take care of the bottom 10% of their population. Why do they or for that matter the Brazilians need a loan? They have printing presses in their countries just like we do.

[thackney]

Deceive yourself if you want.

Dolphin Drilling

DEUTAG is responsible for offshore platforms in the North Sea, Caspian, Angola, and Sakhalin.

Northern Offshore operates drilling units and production units in Asia and Europe and one in the U.K. North Sea.

Odfjell Drilling

SeaWell

Stena Drilling: past and present operations in the North Sea, US Gulf of Mexico, South East Asia, Mediterranean, Caribbean, South America, Australia, North Africa and West Africa.

But hey, keep telling yourself Mexico wouldn't consider going anywhere but the United States. Pretend no other global company will get their business.

PEMEX contracts deepwater EM survey {Norway}
http://www.offshore-mag.com/index/article-display/5474005825/articles/offshore/geology-geophysics/latin-america/2010/07/pemex-contracts_deepwater.html

[1rudeboy]

And I’ll repeat the answer you ignored (comment #6). Ex-Im Bank loaned the money in order to promote American oilfield services firms and oil equipment manufacturers. Nothing would have stopped Pemex from loaning the money from elsewhere, just as nothing would have stopped Pemex from using non-American firms. It really isn’t complicated.

[Rockiette]

Everytime I read about another Obama obomination I get angry but THIS is enough to send Americans over the top!
IMHO, the “President” should be impeached because if this isn’t grounds for it than nothing is! Write your Congress critters and DEMAND he start impeachment proceedings NOW!!!!

[1rudeboy]

Before you start writing members of Congress, I’d suggest a little more study of the issue. You don’t want to appear foolish.

[thackney]

they are the FIFTH largest producer of oil

Down to seventh these days and continuing to trend lower.

[crusty old prospector]

I guess you don’t know how to read or want to impress me with graphics. Like I said before, I am well aware of the companies you spoke of earlier. All fine, upstanding multi-nationals. If Mexico wants to hire them, great. I could care less. I have chosen to only work domestically. It is a bit of a patriotic thing for me.

[Osage Orange]

Personally...if the Ex-Im Bank can make a profit...I'm good with that. And require as part of the loan agreement to make PEMEX use American companies and equipment...is icing on the cake.

[thackney]

I was having trouble keeping up with your quickly changing perspective.