This is a followup to this post about the huge spread in price between American oil and European oil prices. For the best part of a year, the difference between oil in Cushing Oklahoma (the American Benchmark price) had hovered around $26 a barrel. Saudi Arabia charges the Brent (North Sea) oil price.
Well, that $26 spread dropped fairly rapidly to $10. It’s more that the Brent price dropped than the US price went up, at least I think that’s the case.
Two things have changed – the Libyan oil fields have started pumping oil again, and the company that operates a pipeline between Cushing and the Gulf Coast hs decided to reverse the direction – pumping oil from Cushing (arriving from Canada) toward the Gulf for refining and/or export intstead of the current direction pushing imported oil to a place that no longer needs it.
http://www.businesswire.com/news/home/20111117006601/en/Fitch-Seaway-Pipeline-Reversal-Alleviate-Cushing-Crude
Canada is already preparing plans to build a pipeline to the Pacific Ocean to bypass the Obama Administration in order to sell its oil to Asia.
http://news.investors.com/Article/595537/201112211846/america-dithers-canada-oil-looks-abroad-.htm
Clearly one objective of the Obama administration is to ensure that no developed western nation shall be permitted to create wealth from fossil fuels or nuclear power. So if Canada builds their trans-Canadian pipeline (and I think they should if the U.S. insists on pursuing self-destructive policies), are the environmental purists in the Obama administration prepared to impose a naval blockade around Vancouver to prevent all that awful oil from escaping into the environment? Will the U.S. Navy obey such an order? That’s the end game we’re facing if we pursue current policies to their logical conclusion…
If you’ve been watching the criminal Obama administration and his servile propaganda machine (aka the MSM) then you already know the answer.
In light of the media-staged kiss between a navy lesbian seaman and her ‘first mate’ it would appear they will graciously do whatever der fuhrer orders.
i.e. The U.S. is following the NSDAP geopolitical policy of preemptive war.
It’s a good thing John Boehner is still there to protect us!