Posted on 12/28/2011 6:14:33 AM PST by SeekAndFind
Iran today threatened to close the Strait of Hormuz if the United Nations imposes sanctions on Iranian oil as a response to Iran’s sketchy uranium enrichment program, according to a report from Reuters.
Iran has defiantly expanded nuclear activity despite four rounds of U.N. sanctions meted out since 2006 over its refusal to suspend sensitive uranium enrichment and open up to U.N. nuclear inspectors and investigators.
Many diplomats and analysts believe only sanctions targeting Iran’s lifeblood oil sector might be painful enough to make it change course, but Russia and China - big trade partners of Tehran – have blocked such a move at the United Nations.
Iran’s warning on Tuesday came three weeks after EU foreign ministers decided to tighten sanctions over the U.N. watchdog report and laid out plans for a possible embargo of oil from the world’s No. 5 crude exporter.
“If they (the West) impose sanctions on Iran’s oil exports, then even one drop of oil cannot flow from the Strait of Hormuz,” the official Iranian news agency IRNA quoted Iran’s First Vice President Mohammad Reza Rahimi as saying.
State Department officials suspect the threat could be an empty one — closing the Strait would, after all, hurt Iran almost as much or more as it would hurt importers of Iranian oil — but industry experts are divided about whether Saudi Arabia and other oil exporters would be able to supply the demand gap.
Meantime, the threat — empty or not — underscores the persistent need for the United States to assume energy independence. As a reminder, energy independence has become less a question of capability than of policy. According to a report from the Institute for Energy Research, the United States has 1.4 trillion barrels of recoverable reserves of oil — or more than the entire world has used in 150 years. That’s enough to fuel the United States for the next 250 years. Natural gas and coal resources are in even greater abundance. Energy independence could really and truly be as easy as 1-2-3. A sensible policy would (1) unlock more federal lands, (2) develop shale resources and (3) eliminate excessive regulation. But energy independence is not only a clear-cut proposition, it’s also a one-two punch: It’s a positive from a foreign policy perspective and it’s a positive from an employment perspective. According to the same IER report, taking basic steps toward energy self-sufficiency could create up to 1 million jobs. It really does seem like a no-brainer to me.
http://www.eia.gov/countries/cab.cfm?fips=IR
In my opinion, they will never close the straight. They could not afford the economic impact with any less damage to themselves compared to anyone else.
But if threatening to due so raises the price a bit now and then, I'm sure they will rattle their swords in their scabbards, show a photoshopped missile picture and enjoy the extra dollars.
I realize what it entails but maybe it’s time to call their bluff and let the chips fall. Iran is way past due to be taken down a notch.
Here’s a thought:
We import about 10 - 11 million barrels of oil a day.
The Alaska pipeline has 1 million barrels per day unused capacity and ANWR is 75 miles from the pipeline. Keystone II would provide about 800,000 barrels of oil per day.
Issue pending permits in the Gulf of Mexico could produce an additional 1 million barrels per day. All of this capcity is easier to defend thean the straits of Hormuz and closer to home.
Add to that increased use of natural gas, recoverd through fracking, and we can drop our imports by 4 - 5 million barrels per day, create about 500,000 high paid jobs and reduce our trade deficit by $140 billion per year.
I’m sure Obama will get right on your suggestions.
It’s been proven again and again that sanctions are worthless. We’ve been sanctioning Cuba my entire life.
Why provoke them when the prospects of success with it is so slim. Blast them with an elephant gun or leave them alone.
“Hey Iran! Remember that navy you used to have?”
“You lost another submarine, Achmed?”
Yea, but what about all those cute little cuddly duckies that might get their widdle feets covered in evil oil - hmmmm??
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