Energy Sovereignty for Iran

Here’s the prime time television where the U. S. Army chief admits that the American military know Iran is engineering at sea – although the General deliberately gets the purpose wrong.

[For an uncorrected transcript of the piece, see below at the end of this post].

He claims that Iran is going to use their engineering to shut the Strait of Hormuz, a major artery of oil transport from the Middle East to the world.

Whereas, in actual fact, Iran has been constructing facilities to mine marine, sub-sea Natural Gas in its territorial waters in the Persian Gulf, and wants to use it to generate electricity to export.

Iran is sitting on Natural Gas – a lot of Natural Gas. And a lot of it is at sea. There have been marine seismic surveys for sub-sea Natural Gas in the Persian Gulf over the last few years, and it seems, other countries have been spying on the Iranian offshore activities.

Clearly, with Iran’s intent to exploit its marine gas, there have been and will be construction ships and construction going on in the Persian Gulf and around the Strait of Hormuz, especially the islands of Kish and Qeshm. This should not be mistaken as a risk to oil shipping. It should not be claimed as indications of Iran seeking to close the Strait of Hormuz in retaliation for economic sanctions.

What is at stake here is no less than Iran’s energy sovereignty – its sovereign right to enjoy the wealth from exploiting its own energy resources.

The international pressure for an end to fossil fuel subsidies would hurt Iranian internal economic development (much like it’s hurting Nigeria, currently), and it would be forced to export oil and Natural Gas – no doubt at low market prices. Iran may end up no better off for trading.

The Iranians bought myths about nuclear power hook, line and sinker, and they believe they have a right to develop civilian atomic energy. Other countries, the United States of America in particular, keep pushing this button and claiming that Iran is heading for developing nuclear weapon capability. This is the most unbelievable accusation since…oh, I don’t know, since the USA accused Iran of a plot for a used car salesman and a Mexican, or something, to kill a Saudi ambassador, which was unadulterated nonsense.

America’s insistence that Iran is a threat because they claim that Iran is working towards constructing nuclear weapons, is so ridiculous, that few seem to have realised it is “deflection” – a propaganda technique to divert you from the real source of tension between the USA and Iran.

What America really doesn’t seem to like is countries like Iran (and Venezuela) making autonomous energy decisions, and creating their own wealth by using their own energy resources in their own way.

Maybe the American war hawks think “Why cannot Iran be more like Iraq, with western oil and Natural Gas companies with discount contracts, crawling over new resources and selling it all abroad ?”

Anyway, what is clear is that the spat between Iran and the USA has nothing to do with nuclear power or idle brinkmanship about controlling the flow of oil as a retaliation against economic sanctions.




NEWS BROADCAST TRANSCRIPT

http://www.bloomberg.com/video/83880880/

Bloomberg : 9 January 2012 : Lara Setrakian reports on the outlook for Iran to close the Strait of Hormuz as Europe prepares to follow tougher U. S. sanctions on the country over its nuclear program and the status of a pipeline that would allow oil from the United Arab Emirates to bypass the waterway. The pipeline has been delayed because of construction difficulties, two people with knowledge of the matter said. Setrakian speaks with Linzie Janis on Bloomberg Television’s “Countdown.”

[Ticker tape reads “AHMADINEJAD TURNS TO CHAVEZ FOR SUPPORT”]

[Linzie Janis] “The Persian Gulf could be closed off to ships altogether, that’s if tensions continue to escalate between Iran and the West. Iranian President Mahmoud Ahmadinejad is due to meet with Venezuelan leader Hugo Chavez later on today as part of a tour of Latin America. He is seeking s”upport” as Iran faces tighter U. S. sanctions over its nuclear program.

[Mahmoud Ahmadinejad in translation] We will discuss the intentions of the arrogant system interfering and having a military presence in other countries. We shall coordinate with our friends in Latin America to address this matter.

[Linzie Janis] Well with the very latest Lara Setrakian joins us with from Dubai

Lara itell it looks like the U. S. and Iran could be on a – – collision course here.

[Lara Setrakian] Well moving closer towards it, as Iran inches towards what the U. S. has called “two red lines” – advanced nuclear enrichment at the underground Fordow facility, and shutting the Strait of Hormuz – something that Iran told the A. P. [Associated Press] they’ll do if the E. U. oil embargo goes through later this month. The highest level U. S. assessment to date – that Iran could shut the Strait that would effectively trigger a military confrontation in the Persian Gulf.

General Martin Dempsey, American Department of Defense, United States Army Joint Chiefs of Staff Chairman] They’ve invested in capabilities that could [scratches nose – a classic sign of lying] in fact for a period of time block the Straits of Hormuz. We’ve invested in capabilities [rocking body slightly from side to side – a classic sign of swagger] to ensure that if that happens [giving a hard, fixed stare] we can, er, defeat that. [Looks down briefly – meaning that this information was a significant reveal] And so, the simple answer [shrugs shoulders to dimiss the concept] is yes, they can block it. Er… [ Looks down and to his right, our left, indicating a recall of something] And of course that is as well…[blinks to conceal the fact that he’s cut something out] we’ve described that as an intolerable act [shrugs shoulders as if to say, those Iranians have got it coming to them] and it’s not just intolerable for us [shakes head from side to side] it’s intolerable to the world [rubs one hand over another, which is a sign of nervousness]. But we would take action and re-open the Straits [shuts lips in beefburger bun clench and nodding as a sign that no more useful information will be forthcoming].

[ Ticker Tape reads : THREATS TO STRAIT OF HORMUZ SHIPPING ]

[Lara Setrakian] Meanwhile it could disrupt the biggest sea lane for the world’s shipped oil, what one analyst called “the ultimate fear in the oil market – it would spike prices”.

[Linzie Janis] So what kind of preparation are you seeing to counter that risk ?

[Lara Setrakian] Well, one of the biggest contigency plans so far has floundered – a pipeline here in the U. A. E. that would run from Abu Dhabi to the Port of Fujairah. It would avoid the Strait. It’s a $3.3 billion dollar project but it’s been delayed – not ready until April at the soonest. And it’s meant to move 1.5 million barrels per day, most of Abu Dhabi’s output, say two days at sea, but the pipeline has been delayed repeatedly by construction issues – one energy analyst Robin Mills pointing also to a pipeline in Saudi Arabia that’s meant to be another backup system [ Ticker Tape reads “FURTHER CONTINGENCY PIPELINES PLANNED”] that could take oil to the Red Sea after 5 million barrels of oil a day capacity and it could be expanded – again, all contigency planning – to keep oil free from any Iranian chokehold in the Persian Gulf.

Linzie.

[Linzie Janis] Lara, thank you very much.

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