Venezuelan President Hugo Chavez returned home last week, fresh from visits that sought to strengthen political ties with fellow oil producers Russia and Iran.
In Moscow on June 28 Chavez said that Russia and Venezuela “remain strategic partners in energy.” He went on to add, “Lukoil already operates in our country, which chagrined President Bush.”
He also said, “We are thankful to Russian and other foreign companies, which remained in our country in contrast to US companies that left the Venezuelan market.” Left the Venezuelan market? Ooh! Tell us another one, Hugo.
They didn’t leave; he pushed them out. Last February, Chavez ordered exploration by international companies to be run under joint ventures with local companies. He even set a minimum stake of 60% for the local players.
Whistlin’ Dixie
Needless to say, one or two international oil companies found that change a bit unfair and-more to the point-highly unprofitable, especially as Chavez also increased their tax rates.
Warming to this theme, Chavez thanked Russia for its position on oil pricing. “Oil prices were in jeopardy some time in the past; it was sold for a song,” said the Venezuelan president, who must have been whistlin’ Dixie back in the day.
This time, though, Chavez was just blowing smoke, suggesting that his country might begin to develop a nuclear power industry. “Who knows, maybe, Venezuela will head in this direction,” he wheezed. That was doubtlessly another way of rattling Washington.
Meanwhile, he said, “We need a strong and strengthening Russia.” The president stressed that Caracas “does not want war but wants peace.” He insisted that “if the US dares to invade Venezuela...we are ready to fight and die for the freedom of our homeland.” Sure.
Diesel subs
While awaiting the day when he can command a nuclear arsenal, Chavez discussed possible purchases of diesel submarines and other defense equipment from Russia, arguing that these are needed to defend his oil-rich country against the US.
Before heading on to Iran, Chavez met Russian President Vladimir Putin and Belarus counterpart Alexander Lukashenko and urged the two leaders in joining a global revolution against Washington.
He had the same to say in Iran, telling Iranian President Mahmoud Ahmadinejad that the two oil-producing states, which have forged close ties in opposition to the US, should cooperate to defeat imperialism.
“Cooperation of independent countries such as Iran and Venezuela has an effective role in defeating the policies of imperialism and saving nations,” said Chavez, who backs Iran’s nuclear program, which is under United Nations sanctions.
Ahmadinejad, whose country is embroiled in a standoff with the West over that program, took up the theme, saying, “The pillars of the global arrogance have become shaky.” But short of mobilizing his country’s cadres in a march against Washington, Ahmadinejad said “victory” could be achieved “with resistance and standing firm.”
