August 2009 – Obama Underwrites Offshore Drilling
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.
Obama is going to vacation in Rio this month. I wonder if there will be any business discussed.
It seems to me that Obama investing ahead of time in the foreign offshore arena knew that at some point, there will be an increased demand for offshore product. So reduce the U.S. capability to produce oil. Our rigs move to foreign areas to produce more oil for them to sell to us. The government investment value grows directly due to their policies. Makes total sense.