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Oil ministers from OPEC nations have quietly told national security
advisors on Capitol Hill that the oil production cutbacks — and
resulting price increases — are being implemented at the request of the
Clinton administration on behalf of Russia, Indonesia, Mexico and Iran.

Russia, Mexico and Indonesia are reported to be directing their
increased oil profits toward paying back overdue Western loans.
According to one government defense adviser, the windfall profits are
part of a larger scheme to use the American public to pay off failed and
corrupt investment schemes in the three countries.

“The American public is paying off bad loans to bad countries made by
bad bankers,” stated the national security adviser.

The largest Middle Eastern oil producers reportedly agreed on the
cutback of oil production in order to increase income for weapons
purchases. Several oil states have announced major weapons buys from the
West, including a recent multi-billion-dollar purchase of
Lockheed/Martin F-16 fighter jets.

“Iran is also trading oil to China in exchange for missile
technology,” stated the national security adviser.

The gas hike has raised several concerns about the Clinton energy
policy and U.S. national security.

In recent years, OPEC has flooded the market with oil, lowering
prices worldwide. The lower prices, according to Denise Bode, a
commissioner on the Oklahoma Corporation Commission, were designed to
discourage investors in U.S. domestic oil production, maintaining a
world monopoly for OPEC.

“The OPEC cartel clearly understands that the Clinton energy policy
is based on instant gratification,” stated Bode, “seeking low gasoline
prices and ignoring future consequences with a foreign cartel in charge
of our national energy resources.

“In 1997, OPEC acted to consolidate the American market by sending
much cheaper oil, dumping it at historically low prices. The most
significant energy policy initiated by the Clinton administration is a
4.3 cent increase in the gasoline tax,” said Bode.

“Another 30,000 Americans have lost their jobs. Domestic oil
production has moved from holding steady to a 5.4 percent decline. Even
though OPEC has recently cut back production and raised the price of oil
to $30 a barrel, there has been no increase in domestic production.”

“It’s very clear what OPEC should do if they want to retain control,”
stated Donald Hodel, former secretary of energy and secretary of
interior during the Reagan administration.

“Periodically, they should announce they are going to produce excess
volumes of crude oil. The announcement itself will scare away some
capital investment from new production. Secondarily, if that doesn’t
work, and from time to time to prove their point, they would have to
overproduce, drive the price down dramatically, so that marginal wells
in the United States will be shut down and new investment will be shut
down worldwide.”

According to Hodel, the “green” movement has combined with OPEC to
“erect straw arguments” against the U.S. energy industry.

“I’ve never met anyone who said I want to breathe dirty air or drink
polluted water,” noted Hodel. “Yet, the green movement has succeeded in
using clean air, clean water and garbage control as a means to seek
de-industrialization in the U.S.”

“The problem is that the schools have been captured by the flaming
environmentalists,” noted Hodel. “We are not doing a decent job of
getting the educational establishment to acknowledge the facts about the
importance of energy production to our economy.

“If we were rational about our energy policy, we would have a growing
component in our society of nuclear power. The people who fought nuclear
power have successfully stopped coal. They are now turning toward
natural gas and oil. We made the point over and over that offshore
drilling is less of an environmental hazard than transporting imported
oil by tanker.”

Hodel concluded, “Our dependency on foreign oil affects our national
security and our environment.”


Read

Buy some gas, bomb a village
to read what Al Gore said in debate with Bill Bradley.

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