why oil will surge thru $70 soon

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    Yellowcake comment:
    High prices foster instability and inflame tension. Watch this play out in central America (particularly Venezuela and Bolivia)!!!!
    Venezuela Ready to Cut Oil Exports to US

    Caracas, Aug 16 (Prensa Latina) Venezuela warned Tuesday it is ready to stop oil sales to the United States if the Bush administration keeps on threatening the country´s national sovereignty.

    Venezuela Minister of Energy and Oil, Rafael Ramirez, told Venezolana de Television Tuesday "work is being carried out to guarantee economic activity for our country and people under any circumstances."

    Ramirez reminded the same was done during the 2002-2003 sabotage, and that the economic activity will be maintained, with or without the support of the US.

    Ramirez told Venezuelan journalist Ernesto Villegas that an eventual cut of oil exports to the United States would affect Venezuela, but he said that would be the price to keep the national sovereignty high.

    "We are all ready to defend our rights," he added.

    Venezuelan President Hugo Chavez warned recently that he has no interest in cutting oil supply to US, but if Washington's aggressions continue, diplomatic relations and the oil supply to US will be cut.

    Questioned on possible alternative clients, Ramirez remembered Venezuela has sent China 14 ships, each one with capacity of 2 million barrels of oil.

    He said that there is still demand which is not satisfied around the world.

    That is why he thinks Venezuela would not have a problem in moving towards an avid oil market, since the Venezuelan oil industry has a very important refining capacity, which can also include by-products in the market.

    "It would be a very complicated situation, for everyone, but Venezuela took the decision to make its rights be respected, since the future and destiny of the country, and the construction of a fairer society are on it, and that is what has supported the government of Hugo Chavez," he stated.

    Just as expressed by President Chavez, Ramirez explained that the current supply of 1.5 million barrels of oil for US will depend on the country's security and the relations between US and Venezuela.

    The sabotage to the Venezuelan oil industry at the end of 2002 and beginning of 2003 caused a great impact to national economy, together with the invasion to Iraq.

    US and Venezuela are important factors on the stability of the oil market and any aggression or interference will have terrible consequences on the international oil market, Ramirez concluded.

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