offshore drilling
Greece seeks 'security axis' with Cyprus, Israel
Greece is in turmoil over what can only be seen as the ruling Syriza party's bait-and-switch: the government called a referendum on the EU-mandated austerity plan, voters said "No," and then the administration went ahead and agreed to a similar plan, sparking the worst riots in Athens in years. Finance Minister Yanis Varoufakis stepped down, and most Syriza MPs have broken with Prime Minister Alexis Tsipras. Amid all this, the Jerusalem Post reports more news that will alienate Tsipras from his leftist base. It seems that on July 6, Tsipras' Foreign Minister Nikos Kotzias spoke in Jerusalem of developing what the JP calls an "axis of security" (uncertain if Kotzias himself used that phrase) made up of Greece, Cyprus and Israel. This is an ostensible response to what Kotzias called a "triangle of destabilization" delineated by Ukraine, Libya and Iraq/Syria. "We have to create inside this triangle a security and stability framework, and the relations between Israel, Cyprus and Greece are very important," Kotzias said. "I call it the stabilization line in this area."
Obama's new offshore plan: don't believe the hype
This week, the Obama administration released a draft of its next five-year plan for offshore drilling—opening up a previously off-limits area along the Southeastern coast, from Virginia down to Georgia, as well as offering many new oil leases in the Gulf of Mexico. And while it would protect some key areas north of Alaska from drilling, it would open other Arctic areas up. The plan designates 9.8 million acres of Alaska's Beaufort and Chukchi seas off-limits to oil-and-gas leasing, and asks Congress to set aside 12 million acres in the Arctic National Wildlife Refuge (ANWR) as "wilderness area," affording another level of protection. Daily Caller is outraged that the Alaskan waters are to be off-limits; Grist is outraged that the Southeastern waters are to be opened up; Bloomberg tries to play it objective. However, read the small print last line of the White House memo on the supposedly new polcy: "Nothing in this withdrawal affects the rights under existing leases in the withdrawn areas."
Gaza: a war for oil?
Well, we don't think so either, actually. But Revolution News brings some interesting facts to light in a piece entitled "Bombing for Oil: Gaza, Israel and the Levant Basin." It seems that in 1999, British Gas Group (BG) and Consolidated Contractors International Company (CCC) signed a 25-year agreement with the Palestinian Authority for offshore rights on the Gaza coast. In 2000, as drilling began, BG and CCC found gas (not oil) fields, dubbed Gaza Marine 1 and Gaza Marine 2. The companies were granted a 90% ownership of any reserves (60% and 30% respectively for BG and CCC), with a 10% share for the Palestinians. Gaza Marine 1 is entirely located in "Palestinian territorial waters," with reserves estimated at 28 billion cubic meters. Gaza Marine 2, or the "Gaza Border Field" straddles the maritime border between the Gaza Strip and Israel, with an estimated 3 billion cubic meters.
Mexico: bidding set to start on energy sector
After 75 years of state control over oil and gas production, the Mexican government is planning to open up about two-thirds of its reserves to bidding by private companies, according to information that Petróleos Mexicanos (Pemex), Mexico's state-owned oil monopoly, passed on to potential bidders on March 28. This is the first indication of what can be expected from President Enrique Peña Nieto's controversial "energy reform" program. Changes to the Constitution enabling the program were passed by Congress and a majority of states in December, over strong opposition from grassroots organizations and parties on the left; doubts about contracting out oil and gas exploitation increased following fraud allegations against a major Pemex contractor, Oceanografía SA de CV.
Costa Rica to sue Nicaragua over offshore oil blocs
The Costa Rican government announced Feb. 4 that it is preparing to file a new complaint against Nicaragua with the International Court of Justice at The Hague, accusing Managua of offering Costa Rican maritime territory to international oil companies. Nicaraguan President Daniel Ortega has dismissed the charges, stating the area in question clearly falls within the country’s maritime borders, as outlined by an ICJ ruling of November 2012. The announcement marks the third ICJ case between the two nations. Costa Rica filed the first complaint in November 2010, accusing Nicaragua of seizing Isla Portillo (also known as Isla Calero and Harbour Head Island) in the Río San Juan, which forms the common border. In December 2012, Nicaragua filed a grievance charging that Costa Rica's construction of a highway along the San Juan was causing environmental damage. The first claim was upheld by the ICJ in n November 2013, with the court ordering Managua to remove all personnel and equipment from the disputed island. In December 2013, the Court rejected the second claim, finding that “Nicaragua has not...established the existence of a real and imminent risk of irreparable prejudice to the rights invoked" in the highway project.
Mexico: protesters pledge to resist energy 'reform'
Some 40,000 teachers, union members and opposition activists took to Mexico City's streets Dec. 2 in a demonstration to mark the first anniversary of the inauguration of President Enrique Peña Nieto (PRI). The protesters joined a rally led by Peña Nieto's ex-challenger Andrés Manuel López Obrador, formerly of the left-opposition Party of the Democratic Revolution (PRD) and now heading a National Regneration Movement (Morena) to oppose the administration's economic policies. The teachers' union CNTE and electrical workers' SME were heavily represented as López Obrador led the march from the iconic Angel of Independence statue to the Zócalo, Mexico City's central plaza. A key issue at the rally was Peña Nieto's planned reform of the state oil monopoly Pemex, which protesters assailed as a privatization of the company. "We are here to avoid a big robbery," López Obrador told the crowd below a massive banner declaring "NO to the sale of Pemex!" Another banner addrressed to Peña Nieto read: "Sell your body. It's yours. The oil is mine."
East China Sea gets scary —again
BP Gulf oil spill trial opens
Trial began Feb. 25 in the US District Court for the Eastern District of Louisiana between individuals affected by the 2010 Deepwater Horizon oil spill and British Petroleum (BP). The other corporations involved are the rig owner Transocean and well cement services provider Halliburton. The parties bringing suit against BP include the US Department of Justice (DoJ), states bordering the Gulf Coast, and individuals who did not agree to an earlier settlement agreement. The trial is to be conducted in phases with the first part focusing on determining what caused the blowout of the well and assign percentage blame on the companies involved. Other issues that are to be resolved are BP's level of negligence in conjunction with the incident and the amount of oil that escaped into the Gulf of Mexico, both elements are critical to determine BP's penalties under the Clean Water Act (CWA).
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