Tag Archives: economy

Business/Economics, International, Technology, U.S.

Oil & Gas Prices: EIA says oil supply to drop, Jordan cancels contract with Egypt, North Sea Oil near record high price, Canadian oil prices crashing blame North Dakota

March 6, 2012, the U.S. Energy Information Administration (EIA) said oil supply will drop.  This is due to disruptions affecting non-OPEC countries.

This is probably the cause of increased fuel prices, but wait, there’s more!  The EIA also says U.S. demand for petroleum is also going down.  In fact, demand in the United States is at a 15 year low!

That decrease in U.S. demand is being offset by increased demand around the World. Also, the EIA says oil transportation problems in the U.S. Midwest will keep oil prices above $103 per barrel, into 2013!

Speaking of oil disruptions, Jordan announced that because of continued attacks on the natural gas line coming from Egypt, they will be forced to look elsewhere for natural gas: “It would be great if Egypt can prove they can secure the pipeline, but it is clear that Jordan can no longer rely on Egyptian gas.”-Qutaiba Abu Qoura, Jordanian Minister of Energy and Mineral Resources

For oil coming out of the ocean east of United Kingdom, North Sea oil prices spiked on March 6.  The reason is production delays for Asian customers.  It’s called Forties Crude, and hit $1.80 per barrel over the price of Brent Crude (which is about $20.00 per barrel over the price of U.S. Crude).

In September 2011, Forties Crude hit a record $2.05 over the price of Brent Crude.

Reuters estimates that Forties Crude pumping has dropped about 10,000 barrels per day since February 2012.  Reuters analysts think this is due to production problems.  In any case it only helps their price go up!

Canadian oil is dropping in price. According to reports out of Canada, their oil is losing value because there is now too much Canadian oil being pumped into the United States!  In other words too much supply.  So why are fuel prices in the United States going up?

Pipelines coming from Canada are rapidly filling up, and will soon be backed up with too much oil. Another factor in Canadian oil losing value; North Dakota!

Analysts with Cenovus Energy say North Dakota is now pumping out 400,000 extra barrels of oil everyday!

Again why are fuel prices going up then?  The U.S. EIA says all that oil from Canada is getting “bottlenecked” in the U.S. Midwest, because of oil transportation problems.  This is why the Canadians wanted the Keystone XL pipeline.  But, U.S. oil man Barack Obama is blocking the proposed Keystone XL pipeline.

Canadians are hoping that getting their oil to more refineries would help bring up revenues: “…clearly not going to be a good quarter. Between blowouts in heavy pricing, blowouts in synthetic oil pricing, weak natural prices, it’s across the board. The only thing that’s working, really, is downstream.”-Andrew Potter, CIBC World Markets

So how much is Canadian oil? Western Canadian Select Crude is currently about $34 less per barrel than U.S. Crude (aka West Texas Intermediate).  Canadians expect their oil prices to continue downward until mid 2013.

 

 

 

Business/Economics, International, Technology, U.S.

Oil & Gas Prices: Chevron Gas rig burns for 46 days, Oil war brewing between Sudan & South Sudan, Libyan rebels declare independence in Oil Rich Eastern Libya

March 6, 2012, after 46 days a natural gas rig fire has finally been put out. The rig is operated by Chevron, it is located in Nigeria.

The off shore gas rig blew up on January 16, killing two people. It eventually collapsed into the sea: “We cannot predict how long it will take to complete the relief well, but will do so as quickly as possible while maintaining safe operations.”– Russell Johnson, Chevron

Nigeria is the top oil/gas producer in Africa.  The catastrophe is now killing the fish in the ocean:“The gas is inside the fish. After eating the fish you feel like somebody who drunk diesel, you feel dizzy.”-Bravely Salvage, local fisherman

Locals say fish and dolphins have been washing up on the beach.  Chevron officials say the explosion and resulting 46 day fire should not have impacted the fish!!!  Can you say lawsuit?  Nigerian rebels are using the explosion as further justification in their war against the oil industry: “Nothing has changed in the Niger Delta. This is a fools’ peace!”-Movement for the Emancipation of the Niger Delta

South Sudan has lodged a complaint against Sudan, with the United Nations, for the bombing of an oil well.  Sudan said they didn’t do it.

South Sudan is trying to get around the high transport fees Sudan charges for shipping their oil to the Red Sea.  They are building an oil pipeline to Kenya.

South Sudan officials claim the increased violence in their country, which just happen to be destroying their oil production, is being instigated by Sudan: “Khartoum is sending a signal saying ‘if you divert the oil and we do not benefit from anything then we can destroy that oil and create instability so that you don’t enjoy the benefits of that oil’.”-Samson Wassara, Juba University

In Libya, proof the U.S./European supported Libyan government is a joke; rebels have declared oil rich eastern Libya independent!

Eastern Libya is where the “rebellion” began, when Chinese oil workers were attacked.  The Chinese government had to evacuate 30,000 Chinese oil workers, something the Western Media failed to report.

Now, in a obvious case of hypocrisy, Libya’s pro-U.S. government leaders are making the same statements that Gaddafi made: “Some Arab nations, unfortunately, have supported and encouraged this to happen. These nations are funding this kind of unacceptable strife. What happened today is the beginning of a conspiracy against Libya and Libyans.”-Mustafa Abdul-Jalil

 

 

 

 

 

Business/Economics, Idaho, International, Technology, U.S.

What Economic Recovery? Idaho’s Hoku Materials loses $28 million, blames Idaho Power. Takes on 19 new loans to continue operation, beggars China for more money!

On March 5, 2012, Hoku International released its Quarterly 10-Q Report, ending December 2011.

Specifically their Pocatello, Idaho, Hoku Materials polysilicon operations (which has yet to actually begin operations) lost $28.4 million in the nine months ending on December 31, 2011.

Their 10-Q report blames part of the loss on Idaho Power’s electricity bills.  Idaho Power has reported that Hoku has consistently failed to pay their electric bill on time (actually in advance, under Idaho Power’s rules for large businesses)!

Hoku’s March 5, 2012, 10-Q report also revealed that they’ve had to “…obtained an aggregate of $315.5 million of debt financing through 19 bank credit agreements to support our operations.”  

That was as of December 31, 2011.  Hoku has also revealed that they’ve had to beg China for more money: “In January 2012, we entered into a credit agreement with Industrial and Commercial Bank of China, Limited, New York Branch to provide for one or more term loans in an aggregate principal amount not to exceed $10.0 million. And in February 2012, we entered into a credit agreement with China Merchants Bank Co., Ltd., New York Branch to provide for a loan in an aggregate principal amount of $10 million.”

AS I WARNED: IDAHO HOKU SILICON FACTORY GOING UNDER, ANNOUNCING LAYOFFS, VIOLATED STOCK MARKET TRADING RULES

Business/Economics, Idaho, International, Technology, U.S.

What Economic Recovery? As I warned; Idaho Hoku silicon factory going under, announcing layoffs, violated stock market trading rules

March 6, 2012, Hoku International announced they will layoff about 20 employees at their Pocatello, polysilicon plant.

This comes after many delays in finishing the factory, and threats by Idaho Power to cut off electricity because Hoku hasn’t been paying its utility bill.  Also, Hoku lost big money in 2011.

Officials with Hoku said the layoffs are necessary to keep the company going.

On February 23, 2012, Hoku International was notified that trading of its stocks were suspended, for violating NASDAQ’s Listing Rule 5250(c)(1).  On March 5 (the day before the layoff announcement) Hoku claimed they were now in compliance with NASDAQ’s rules.

CORPORATE INCOMPETENCE: HOKU MATERIALS BEGS FOR MONEY TO PAY ITS OVERDUE IDAHO POWER BILL

Influenza

Pale Green Horse & H5N1: Another death in Indonesia, more cases in Vietnam and Bangladesh

05 March 2012, Indonesian officials announced the death of the fifth 2012 victim of H5N1 bird flu.

A 48 year old man died on 03 March, after being treated at a local hospital.  Doctors at the hospital say the man died from multiple organ failure. They are conducting tests to confirm the H5N1 infection.  The man had already been to two other hospitals.

Vietnam’s Ministry of Health says another man is sick with H5N1.  He got sick on 17 February, went into the hospital on February 21.  The H5N1 was confirmed on 25 February.  The 22 year old man is still in the hospital.

Vietnamese officials confirmed the man worked with domesticated ducks.

In Bangladesh, the Institute of Epidemiology, Disease Control and Research (IEDCR) said it confirmed three more H5N1 cases. The three people both work in poultry markets. They say one of the workers has already recovered.

Bangladeshi officials say that you should not only fully cook poultry meat and eggs, but wash off the egg shells (and your hands) before cracking them open.

I looked and there before me was a pale horse! Its rider was named Death, and Hades was following close behind him.  They were given power over a fourth of the earth to kill by sword, famine and plague, and by the wild beasts of the earth.

Business/Economics, International, U.S.

Who’s the official “Best Friend of the American Worker”? China. Mitt Romney has short memory, makes hypocrite of himself.

Former Massachusetts governor, Mitt Romney, has blasted China’s trade policies with the U.S., but China has just won a Massachusetts award for being the Best Friend of the American Worker!

On March 2, 2012, Chinese Premier, Wen Jiabao, was given the award in Boston by the International Longshoreman’s Association.  For what? For appreciation of China’s strong support of job growth for U.S. workers!

Here’s the thing, while Mitt Romney was governor of Massachusetts he actually wooed the Chinese to invest in that state.  In fact, at the end of 2003 Romney gave Wen a tour of Boston!

Another thing. Romney has also made a fool of himself.  He has repeatedly stated that China is costing the U.S. millions of jobs every year.  But here’s a sobering fact: U.S. exports to China increase year after year.  That means more jobs created in the U.S. to meet those export demands from China.

How much have exports to China grown?  According to the U.S.-China Business Council, U.S. exports to China skyrocketed 468% between 2000 and 2010!!!   Now you know why China is officially “Best Friend of the American Worker”.

 

Business/Economics, International, U.S.

Oil & Gas Prices to go up: Oil pipeline blown up in Syria, gas pipeline blown up in Egypt, oil pipeline explodes in Illinois, pipeline fire in Alaska, pipeline fire in Texas

March 5, 2012, pro-U.S. rebels blew up a major oil pipeline in Syria.  It happened in Deir al-Zor.

Deir al-Zor is an oil producing province bordering Iraq.  It has been under attack by rebels who are part of the loosely organized U.S./Israeli supported Free Syrian Army.

Also, a gas pipeline from Egypt to Jordan and Israel was blown up, for the 13th time since the January 2011 Egyptian Revolution.

Over the weekend, an oil pipeline was shut down after two cars crashed into the pipeline, causing an explosion.  The pipeline runs from Canada to Illinois. Two people were killed, three injured. Local Illinois police say it was a terrible car accident.

On March 1, British Petroleum (BP) reported a fire at one of its Alaskan operations. They said employees noticed a flame, then a loud bang at the Prudhoe Bay Gathering Center 2.   They don’t know what caused it.

In Texas, on March 2, three workers were injured by a fire on a Texas pipeline.  It’s being called a flash fire, caused when the workers were trying to repair an out of use pipeline.

On February 24, 2012, a Louisiana gas plant was closed indefinitely.  One employee was injured during a fire at the Basile plant.  The plant will re-open after an investigation.

Now realize that these kinds of things happen on a weekly bases, all around the World.  This proves the petroleum industry is not environmentally safe, is run by incompetents, is a main target of war, and it is the real reason oil and natural gas prices stay high.

 

Business/Economics, U.S.

What Economic Recovery? Sears Kmart Store Closings update; Illinois hit hardest

On February 23, 2012, Sears Holdings released the latest list of Sears and Kmart store closings.

15 stores have been added to the 79 previously announced. The latest announcement has one Kmart closing in Maryland, one closing in New Jersey and one in South Carolina.

Also, a combination of Sears/Kmarts will be closed in the following states: Two in Ohio, two in Minnesota, three in Florida and five in Illinois.

Sears Holdings lost $3.1 billion in 2011.

Business/Economics, Idaho, U.S.

What Economic Recovery? Sears to sell off stores to GGP. GGP owns most of the malls in Idaho. Sears loses $3 billion in 2011

On February 23, 2012, Sears Holdings announced that they will sell off eleven stores to major mall owner General Growth Properties (GGP).

sears chubbuck

Sears at the struggling Pine Ridge Mall in Chubbuck, Idaho

GGP owns most of the malls in Idaho (Idaho Falls, Boise, Chubbuck and Coeur D’Alene), and they have Sears stores, but, none of the eleven to be sold off are in Idaho.  This means that it’s possible they might make the next round of closings.

The eleven stores to be sold to GGP (for a total of $270 million, to be finalized in April 2012) include one in Hawaii, two in Utah, two in Iowa, one in Washington, one in Texas, one in Illinois, one in Oklahoma, one in Florida and one in Michigan.

Also on February 23, Sears Holdings reported a net loss of $3.1 billion for the year 2011!

International, U.S.

World War 3: Japan reveals plans to airlift their citizens out of Iran!

Japan’s Self-Defense Forces have just revealed plans to evacuate Japanese citizens living in Iran!

On March 5, 2012, Defense Minister Naoki Tanaka made the statement in a Diet (parliament) session.

He said they are prepared to use C-130 transports, along with aerial refueling tankers, to “rescue” Japanese stuck in Iran, in case of “emergency”!

According to official Japanese numbers, there are about 700 Japanese citizens living in Iran, many are married to Iranians.