"Crude" Movie Lies - The Movie "Crude" Forgets About Ecuador

There's a new movie out called "Crude" which is a kind of documentary about the Ecuadorian oil spill problem. The trouble is, it forgets about how Petroecuador shirked its responsibility in maintaining the oil production facilities left behind after the transfer from Chevron / Texaco in 1998. I explained that in this video:



And now, there's a new website outlining the lies of "Crude" and called "Crude Movie Lies".

Multinational Monitor Erroneously Lists Ford Foundation's Community Friend Chevron as One Of 2008 Worst Corporations

It seems the Multinational Monitor has a habit of writing incorrect and critical news about American Corporations that support it. Support it? With a budget of over $1 million, it doesn't come from people on the street. But it takes that money from corporations and uses it to incorrectly shame them.

This is certainly true with Chevron, the company the "non-profit" organization publication owned by Essential Information, a firm founded by Ralph Nader, who's not involved with it as of this writing. It is Essential Information that receives a grant from The Ford Foundation, which in turn has recognized Chevron as a good company in the matter of community investment in America.

So what does the Multinational Monitor accuse Chervon of that makes it "so bad"? It's attempt to throw out a baseless lawsuit against it by Ecuador regarding oil wells that the country itself is responsible for taking care of and has been for almost 20 years.

Multinational Monitor and Robert Weissman, who made the list, should take Chevron off of it.

Richard Cabrera: Who Is Prof Cabrera And Why Can't One Find Info On Him?

 UPDATE: Chevron attacks Cabrera's Voodoo Economics. 


Richard Cabrera is a supposed geologist and environmental expert based in Ecuador, and who's large damage estimates have played a major role in the case of Ecuador v. Chevron.  His first estimate of Chevron's alledged environmental damage was $16 billion, but he's increased that to $27 billion to take into account Ecuadorians who may have been striken with cancer.


And here's the problem.  No one knows where he got the new damage estimate from!  What was the multiplier?  Why?  But I have another really basic question: who is this guy?  I can't find anything in the way of a resume or a website listing from whatever university Prof Cabrera represents.  In the 21st Century, how the hell can someone claim to be "a World-class expert" if no one can find them online around the World?


A search for "Richard Cabrera, geologist "yields nothing not connected with the Chevron case yet carrying his name.  If the Chevron case isn't his first rodeo, then how can we be sure?   Just because a court appointed him in Ecuador?  He's supposed to be a World-known expert.


Cabrera's resume is something that must be investigated considering the gravity of the case he's involved in.

The Pentagon's Image Problem in Latin America and Africa

 This is a must-read article for any Latin American and foreign policy enthusiast.  Indeed, Latin America is against U.S. interests and may not be safe for Americans to visit because of Pentagon activities. 

War Is Boring: The Pentagon's Image Problem in Latin America and Africa

David Axe - World Politics Review, October 15, 2008

http://www.worldpoliticsreview.com/article.aspx?id=2776

The U.S.S. Kearsarge amphibious assault ship set sail from Norfolk, Va., in August, on a mission to provide free medical care to six Latin American countries. But five days into her four-month cruise, on Aug. 11, Kearsarge made an important detour, swinging within helicopter range of Miami to receive visitors. The roughly 20 people who clambered aboard from the hulking Marine Corps choppers represented a mix of U.S. military brass, civilian aid workers, local Miami elected officials and Spanish-language media.

"Our multinational team is dedicated to recommit and fortify our relationships in South America," Capt. Frank Ponds, ranking U.S. officer on Kearsarge, told the assembled VIPs in one of the 1,000-foot-long vessel's staterooms. He was specifically referring to the ship's current medical mission, but his words could also apply more generally to the July launch of the U.S. Fourth Fleet, a new headquarters for Latin American naval operations that is intended to boost U.S. military presence in what one analyst has called a traditionally "forgotten" part of the world. Kearsarge's cruise represented one of Fourth Fleet's first deployments.

Later, Ponds explained to the embarked reporters accompanying the vessel on her tour that ceremonies like the one on Aug. 11 were a key facet of Kearsarge's mission. Treating a few tens of thousands of patients in Latin America would not be enough: The Navy also needed to explain what it was doing, and why, to the hundreds of millions of people in the region who would not be receiving medical care. Ponds said this "strategic communications" was vital to "influencing generations to come."

But according to some experts, Ponds' efforts were too little, too late. Public opinion in Latin America has already turned against the Pentagon's reinvigorated activities in the region -- and against the United States in general. America's image has "eroded" in six Latin American countries surveyed in a recent Pew poll, according to the Associated Press. Meanwhile, a Chilean polling organization ranked President George W. Bush as the least popular world leader in the opinions of Latin Americans.

The United States has a major perception problem in the two world regions where the Pentagon has decided to focus greater effort. Latin America and Africa represent new frontiers for a military that in recent decades has mostly concerned itself with Western Europe, the Middle East and the Pacific. In addition to Fourth Fleet's recent launch, in October the Pentagon formally stood up Africa Command, a new headquarters overseeing all of Africa, save Egypt. The so-called AFRICOM has proved deeply unpopular among everyday Africans -- so much so that only one country, Liberia, offered to host the command's facilities. Rather than risk further alienating Africans, AFRICOM instead chose to keep its facilities in Germany.

Similarly, in the Southern Hemisphere, Fourth Fleet has been a magnet for criticism. Upon hearing of the Pentagon's intention to stand up the new headquarters, Venezuelan President Hugo Chávez accused the U.S. of deliberately provoking a new "Cold War" in Latin America. Chávez followed up his accusation by inviting the Russian navy to conduct exercises off the Venezuelan coast. Ecuadorian president Rafael Correa supported the invitation. "The U.S. Fourth Fleet can come to Latin America but a Russian fleet can't?" Correa said.

Anti-U.S. rhetoric might be expected from the region's most hardline leftist regimes, but even current and former U.S. allies have protested renewed U.S. military interest in Latin America. The same day Kearsarge began delivering aid to impoverished eastern Nicaragua, that country's president, Daniel Ortega, accused the vessel of carrying spies. Chile, perhaps the staunchest U.S. ally in Latin America, lately has been skeptical of the Pentagon's intentions in the region. And Brazil, which sent doctors to help out aboard Kearsarge, nevertheless cited Fourth Fleet as a potential military rival. President Luiz Inácio Lula da Silva said Brazil's navy must protect the nation's newly discovered "subsalt" offshore oil reserves "because the men of Fourth Fleet are almost there on top of the subsalt areas."

This despite Fourth Fleet's largely humanitarian focus, perfectly reflected in the Kearsarge cruise. "Adm. Jim Stavridis, who is the commander of SOUTHCOM, speaks very eloquently about these missions of peace," says Bob Work, an analyst with the Center for Strategic and Budgetary Assessments. Of Fourth Fleet's five stated mission areas, three are humanitarian in nature. Nos. 4 and 5 are multinational naval training and counternarcotics. "Kinetic" combat doesn't even make the list.

But the Pentagon failed early on to impress upon Latin American leaders its essentially peaceful intentions in forming the new headquarters. According to Mark Schneider, an analyst with International Crisis Group, the U.S. government did not effectively consult with the region's governments before announcing Fourth Fleet. "If it had been done in a different way, it might have been accepted," Schneider says. "It needed to have been done in a collaborative way." The Pentagon should perhaps have expected a certain wariness among Latin Americans, especially considering the U.S. military's history in the region. "We know of many historical cases of U.S. intervention in Latin American countries," said Leonid Golubev, Russian ambassador to Bolivia. Indeed, the airstrip in eastern Nicaragua where Kearsarge landed her first batch of medical supplies in August was the same strip built by the U.S. as a base for the 1961 Bay of Pigs invasion targeting Cuba.

AFRICOM's problems are similar in nature. Unlike Central Command, which has as its primary mission prosecuting the wars in Iraq and Afghanistan, AFRICOM is mostly a training and humanitarian organization, with only a few thousand combat troops (those assigned to a Special Forces base in Djibouti). "This is not a kinetic environment," said AFRICOM boss Gen. Kip Ward. "We are there to help our partner nations build their capacity, working in totality with the overall U.S. government program in a particular country."

"Not focused on war fighting," is how Theresa Whalen, the Pentagon's top Africa official, characterized the new command.

That may be so, but in failing to clearly communicate this focus to the continent's leaders and to everyday Africans, the Pentagon didn't take into account the lingering fear of colonialism that is widespread in Africa. "U.S. AFRICOM project has a hidden agenda," one Nigerian commenter wrote in a post on the command's official Web site. "Washington should understand that Africa does not need AFRICOM to solve her problems, many of which have foreign coloration."

Soon after AFRICOM was announced in late 2006, stories circulated in the African press claiming that the U.S. planned to build permanent bases on the continent, and already operated a secret airbase in Botswana. "We could just not kill that rumor," Whalen said. She said African reporting on AFRICOM, dominated by Nigerian, South African and Kenyan news organizations, was "not particularly sophisticated." And even today, two years later, there's a "great deal of speculation, misinformation," according to Jerry Lanier, a State Department adviser to AFRICOM.

The Pentagon is at least partly to blame, says Jose de Arimateia da Cruz, a professor at Armstrong Atlantic State University in Georgia. "Two years into AFRICOM planning and launch, there is still very little dissemination of information."

As for Latin America, press conferences aboard U.S.S. Kearsarge cannot undo the long months of relative silence that preceded Fourth Fleet's launch, and which have undermined the new headquarters' "mission of peace."

David Axe is an independent correspondent, a World Politics Review contributing editor, and the author of "War Bots." He blogs at War is Boring. His WPR column, "War is Boring," appears every two weeks.

Petroecuador Gets Revenue From Old Occidental Petroleum Company Fields

Look at this report, because it shows just how much of an impact the seisure of Occidential Petroleum oil production facilities had on Petroecuador's overall revenues.  Moreover, one has to ask how the company is maintaining those facilities given its past failures. 

Dow Jones International News, October 15, 2008

QUITO (Dow Jones)--Petroecuador reported Tuesday oil export revenue of $526.33 million in September, a 20% decrease from the $656.12 million registered in the previous month.

According to Petroecuador data, the company exported 5.91 million barrels of crude oil in September, down 10% from 6.56 million barrels registered in August.

Petroecuador's exports include Napo crude from former Occidental Petroleum Company fields that were seized May 15, 2006. Ecuador claims Occidental broke the terms of its operating contract.

Exports of Oriente crude in September were 4.47 million barrels, while exports of Napo crude were 1.44 million barrels.

The average price of Oriente in September fell 11% to $90.24 a barrel from $100.86 in August. The price of Napo crude was $85.15 per barrel, a 13% decrease against $97.68 registered one month before.

Figures have been rounded.

Petroecuador is Ecuador's state oil company.

Ecuador's Correa Names Fourth Finance Minister; Correa Says "Mafia" Runs Finance Ministry

This is interesting to me, because I hold that the cover-up of Petroecuador's involvement in oil spills in the Amazon is directly connected to Ecuadorian Government corruption.  Here's Ecuador's own governor talking about such problems in his own government...

Ecuador president names fourth finance minister, slams predecessors for low public spending

Associated Press Newswires, September 17, 2008

QUITO, Ecuador (AP) - Ecuador has a new finance minister after the unexpected resignation of Wilma Salgado.

President Rafael Correa criticized Salgado Tuesday, accusing her of blocking his efforts to boost government spending on roads, hydroelectric and oil projects during her 10 weeks in office.

Correa said a "mafia" has run the finance ministry, "demonizing" public spending in order to use Ecuador's cash to service its foreign debt.

Ecuador has US$6 billion in foreign currency reserves, and Correa wants new finance minister Maria Elsa Viteri to tap that cash to triple public spending to US$300 million a month.

Viteri is Ecuador's fourth finance minister since Correa took office 20 months ago.

Chevron v. Ecuador - Chevron Files Response To "Fraudulent" Court Report

I'm just updating you on news related to the ongoing legal battle between Chevron and Ecuador:

California-based oil major Chevron (NYSE: CVX) has filed a written response to a court-ordered report in a trial related to alleged environmental damage in Ecuador.

The superior court in Nueva Loja, Ecuador, asked Richard Cabrera to write the report after the plaintiffs aborted a judicial inspection process of the alleged pollution in Ecuador, Chevron said in a statement.

"The findings of the Cabrera report are clearly fraudulent and intended to cause damage to this US company and its shareholders," Chevron general counsel Charles James told reporters in a conference call.

"This report would not withstand scrutiny - be it technical, scientific or legal - in any responsible independent court anywhere in the world," he said.

Chevron believes Cabrera, helped by the plaintiffs, "manipulated" findings to justify false conclusions. Cabrera failed to present evidence for a number of claims and did not look at drinking water samples to prove contamination, according to the Chevron statement.

"It is hard to read Mr Cabrera's report and find a single table, page, assertion or data point that we wouldn't take issue with," James said when asked whether there was any truth to the Cabrera report. "He did put his name on the report and I presume that's correct."

The Cabrera report estimates damages of US$7bn-16bn - a "reasonable" amount that actually "underestimated the number of deaths from cancer due to the oil contamination," the Amazon Defense Coalition, a NGO that supports the plaintiffs, said in a statement.

In fact, plaintiffs have submitted papers to the court asking Cabrera to calculate how much it would cost to remediate groundwater and surface water not included in the assessment.

"There is significant evidence of groundwater and surface water contamination in the record yet no damages to remediate the impacts," Pablo Fajardo, the Ecuadorian lawyer for "dozens" of Amazon communities and five indigenous groups suing Chevron, said in the NGO's statement.

The trial stems back decades, when Ecuador's state oil company Petroecuador led an E&P project with partner Texaco Petroleum (Texpet), which years later merged into Chevron. The Petroecuador-Texpet partnership resulted in total crude production of 1.7Mb, with Texpet - which stopped operating in the country in 1992 - taking 5% of the financial proceeds, according to Chevron figures.

Ecuador's government in 1999 enacted a new environmental statute that allows any Ecuadorian resident to file a collective suit for environmental reparations. As a result, plaintiffs filed suit against Chevron in 2003, alleging environmental damage under the Texpet project.

Although Texpet had a minority stake in the project, plaintiffs allege it did substandard work and made major decisions about project technology and methodology.

Chevron denies the allegations and says it performed a US$40mn remediation project that gave it final immunity from claims resulting from its participation in the consortium.