Venezuela expells the U.S. ambassador...

[FrodeMk3]

The Chinese and Indians will eagerly buy all the oil the USA doesn't want.

 Tronsky

Hmmm...I wonder what the total effect of taking all that oil to asian markets would be?

I imagine that gasoline and other petroleum products' might get cheaper, with a larger supply. However, what would the monetary hit to Venz. be? Would they be able to make up the price difference with volume? And what could the possible impact on prices' here in the U.S. be?

[JAGED]

[Charon]

Citgo gas stations are owned by Venezuela, just saying.

No, they are not. 100 percent of CITGO stations are owned by private American entrepreneurs (as is the case with the vast majority of gas stations in America).

Charon

[SkyRock]

The external threat idea keeps people compliant.

repub politics?

[Maverick]

This pretty much sums up chavez.

"That's enough ... from you, Yankees," Chavez said, using an expletive. Waving his fists in the air, he added: "I hold the government of the United States responsible for being behind all the conspiracies against our nations!"

He needs a boogie man to keep attention off of his de facto dictatorship and to maintain any lid on popular protest from his serfs. As long as he can make the folks at home feel threatened by outside forces he keeps attention focused away from him and his actions.

[CAP1]

The Chinese and Indians will eagerly buy all the oil the USA doesn't want.

 Tronsky

well, since we generally try to help everyone, and it seems everyone hates us for it, then maybe we should help ourselves.........to their oil. bring our guys back from the snadbox, and send em down there to secure the oil fields for US.  what's the worst that can happen? everyone'll dislike us more?

sorry......that was my inner pissed off child talking.

[john9001]

No, they are not. 100 percent of CITGO stations are owned by private American entrepreneurs (as is the case with the vast majority of gas stations in America).

Charon

the stations may be owned by americans, but CITGO is owned by PDVSA.

"Petróleos de Venezuela, S.A. (PDVSA) is the Venezuelan state-owned petroleum company. It has activities in exploration, production, refining and exporting oil, as well as exploration and production of natural gas. PDVSA dominates the oil industry of Venezuela, the world's fifth largest oil exporter.

PDVSA purchased 50% of the United States gasoline brand Citgo from Southland Corporation in 1986 and the remainder in 1990."

[JAGED]

the stations may be owned by americans, but CITGO is owned by PDVSA.

"Petróleos de Venezuela, S.A. (PDVSA) is the Venezuelan state-owned petroleum company. It has activities in exploration, production, refining and exporting oil, as well as exploration and production of natural gas. PDVSA dominates the oil industry of Venezuela, the world's fifth largest oil exporter.

PDVSA purchased 50% of the United States gasoline brand Citgo from Southland Corporation in 1986 and the remainder in 1990."

Believe it!

[Yeager]

Chavez needs to be careful.  If he uses energy as a weapon against the US that would present one hell of an opportunity to do a hussein maneover on him.  If Russia comes down and tries to intervene then hammer those Russian forces with conventional attacks.  If Russia then wants to go Nuclear I say lets get it over with.

If you allow the Russians to believe they can expoit you then they most assuredly will, and currently are.

What we need are leaders willing to tell Putin up fron that if he wants war he can have it.  Otherwise he will walk all over us.

[FrodeMk3]

Chavez needs to be careful.  If he uses energy as a weapon against the US that would present one hell of an opportunity to do a hussein maneover on him.  If Russia comes down and tries to intervene then hammer those Russian forces with conventional attacks.  If Russia then wants to go Nuclear I say lets get it over with.

If you allow the Russians to believe they can expoit you then they most assuredly will, and currently are.

What we need are leaders willing to tell Putin up fron that if he wants war he can have it.  Otherwise he will walk all over us.

But Bush hasn't so far. And if Chavez does get nasty with the oil, and he has Russian backing, my question is how WILL we respond? The same way we did with Georgia?

That was a good point Yeager.

[john9001]

chavez needs to sell his oil, it's major source of income for his country. If he sells to someone else that just frees up oil from other producers.

The price of a barrel of oil has dropped to around $100 because of decreased demand.

[FrodeMk3]

Here's a new story about what's happening:http://news.yahoo.com/s/ap/20080912/ap_on_re_la_am_ca/us_venezuela

It seems' that we've expelled their ambassadors now, as well.

[Ponyace]

This is interesting. First the Russians pull into Venezuala carrying disclosed cargo, and next Chavez expelles the U.S. ambasador. I've got a bad feeling about this

 Kinda ironic how Chavez hates the U.S. so much, and yet they are a major U.S. oil trader. Not completly sure, but I think the reason the U.S. buy their oil, and they sell it to us is because their oil is heavier than normal and only the U.S. has means of making in use out of it. Could some verify this?

[FrodeMk3]

This is interesting. First the Russians pull into Venezuala carrying disclosed cargo, and next Chavez expelles the U.S. ambasador. I've got a bad feeling about this

 Kinda ironic how Chavez hates the U.S. so much, and yet they are a major U.S. oil trader. Not completly sure, but I think the reason the U.S. buy their oil, and they sell it to us is because their oil is heavier than normal and only the U.S. has means of making in use out of it. Could some verify this?

That's true; Venezualan crude is very heavy, sour crude. I don't know if we are the only ones that can refine it, however I know that we can and do.

[lasersailor184]

I personally believed that we should have lit every single Venezuelan oil well on fire when they nationalized the rest.  Including the ones they already owned.