Obama sells U.S. oil and natural gas to China

Oil, coal and natural gas account for more than 85% of the energy consumed in the United States, with oil alone accounting for nearly 40% of all energy utilized in America.

The United States is the world’s third largest producer of oil and currently produces about 40% of the oil that we consume, America’s oil production having peaked in 1970. This means Americans must rely on imported oil.

In fact, oil imports have exceeded domestic production since the early 1990s. A mere 30 years ago, 28% of the oil consumed in the United States was imported. Today nearly 60% of the oil utilized and consumed in the United States is imported from other countries. In order of importance, they are Canada, Saudi Arabia, Mexico, Venezuela, Nigeria, Iraq, the United Kingdom, Norway, Angola, Algeria and Colombia. [Sources: Wikipedia and QuoteOil]

Given that, it is sheer insanity for America to sell our oil and natural gas to China. But that’s exactly what Obama is doing!

Obama and China’s Vice President Xi Jinping, Feb. 14, 2012

Susanne Posel writes for Occupy Corporatism, May 15, 2012, that the Obama administration is selling our domestic energy resources that are worth billions, specifically oil and natural gas to the Chinese government. This action could force the US to become even more dependent on foreign sources of oil.

The China National Offshore Oil Corporation (which is owned by the Chinese government) and Sinopec Corporation (the Chinese government owns the most stock in this corporation) are buying oil from the US.

Sinopec Group, the largest shareholder of Sinopec Corp., is a super-large petroleum and petrochemical group incorporated by the Chinese government in 1998 based on the former China Petrochemical Corporation. Funded by the government, it is a state-authorized investment arm and state-owned controlling company.

The state-owned China National Offshore Oil Corporation (CNOOC) has agreed to pay $570 million for a one-third interest in Chesapeake Energy Corp.’s 800,000 leased acres in northeast Colorado and southeast Wyoming. The acreage is in the Denver-Julesburg (DJ) and Powder River basins. CNOOC is China’s biggest offshore oil and natural gas producer.

Obama offered the Chinese government a third of any new petroleum uncovered in the Chesapeake Bay. Those deposits are estimated to produce 500,000 thousand barrels of oil per day. Sinopec has been promised financial rewards from profits in states like Louisiana, Texas, Michigan, Ohio, and Oklahoma. The fracking endeavors by Niobrara Shale are nearly guaranteed to pay out financially for CNOOC.

H/t KhetaAmenti, Tina, and May.

~Eowyn

8 responses to “Obama sells U.S. oil and natural gas to China

  1. Throw Them All Out Of Office !This Is Still America!!!!!!!

  2. boy it sure is a relief that the msm is on top of this.. not… ;as obama sells america down the road the media has slept. free press inept press wake up america obama must go now

  3. How the heck are we to sell China oil when we have to buy what we need at flippin’ expensive prices from the MidEast?

    • Common sense and financial consequences mean nothing to someone who has never worked in a private sector job.

      We all know what Skippy’s end goal is. Forward us down the drain.

  4. This definitely tops Bill Clinton selling White House access and overnights in the Lincoln bedroom to the ChiComs! Obama’s administration has been a signal to the world, while their holding America down, their saying here she is world, come and rape her! Scumbags! Looks like Treasonous acts in my book…!

  5. Reagan Warned Us About Obama How Reagan summed up Obama in the first 5 minutes of a speech over 40 years ago.

  6. I have worked in the DJ basin, and would like to add a little information to the article:

    You are correct about our oil imports. Due to very successful domestic drilling, we are expecting to become a net oil exporting country sometime around 2025. I expect that to be short lived, but it is significant. I would also like to point out that almost all of this is due to privately developed technology, and oil produced from private land by private companies. The president has had almost nothing to do with increased oil production. In fact, almost everything I have heard him say about the oil industry is a deception, or an outright lie. You cannot trust him.

    The DJ basin does stretch from just north of the city of Denver to somewhere around the Wyoming border. The Niobrara shale is an oil producingformation in the DJ basin. While not the most successful play, out is still very profitable. There are many years of production remaining in this play, in my opinion.

    My question is, how exactly is Obama giving oil to the Chinese? It sounds like the Chinese just struck a deal with Chesapeake (an American company based in Oklahoma). The DJ basin is not on government land, that I know of. So what is Obama’s involvement in this?

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