Obama Underwrites Offshore Drilling

Tuesday, August 18, 2009
By PMA

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The Wall Street Journal has a great editorial today with the headline, “Obama Underwrites Offshore Drilling”—and the subhead, “Too bad it’s not in U.S. waters.”

The gist of it is:

The U.S. is going to lend billions of dollars to Brazil’s state-owned oil company, Petrobras, to finance exploration of the huge offshore discovery in Brazil’s Tupi oil field in the Santos Basin near Rio de Janeiro…

The U.S. Export-Import Bank tells us it has issued a “preliminary commitment” letter to Petrobras in the amount of $2 billion and has discussed with Brazil the possibility of increasing that amount… this corporate foreign aid may strike some readers as odd, given that the U.S. Treasury seems desperate for cash and Petrobras is one of the largest corporations in the Americas.

But look on the bright side. If President Obama has embraced offshore drilling in Brazil, why not in the old U.S.A.?

…Americans are right to wonder why Mr. Obama is underwriting in Brazil what he won’t allow at home.

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