Wednesday, November 19, 2014

Keystone XL Pipeline

Since it was proposed by, TransCanada in 2005, the Keystone XL pipeline has been the subject of much controversy.  The pipeline was designed to move oil from Alberta across the United States and Canadian border, into North and South Dakota, and then Nebraska. The pipeline was estimated to create over 40,000 jobs. Most of the jobs however would be temporary. Nearly 4,000 of those jobs however would be given to construction workers while the rest would be given to “support jobs” (New York Times). The majority of the opposition of the pipeline came from environmental concerns. Rather than, use traditional means of obtaining oil the pipeline would extract, “oil from the Alberta sands…requiring far more fuel, water, and carbon emissions” (New York Times). The substantial environmental concerns have been the measure’s main opposition for passage.

The measure was voted upon yesterday by the Senate, were the current Democratic majority was able to defeat the measure by a single vote. In order to pass the measure would need 60 votes. The entire Republican minority of the Senate, voted for the measure’s passage that however was not enough. President Obama, was most likely going to veto the measure had it been passed. Obama’s opposition of the measure was based on the negative environmental effects it would have had on the environment. Mitch McConnell who will become the majority leader in January is adamant, the measure regarding the Keystone pipeline will return to the Senate floor very soon (Reuters).

Wednesday, November 12, 2014

Russian Volunteers

            The conflict in Ukraine, rages on as the Russian military has begun to move into Ukrainian territory. The Russian military is reportedly bringing in high grade weaponry, as well as training separatist. Some the weaponry Russia has brought into Ukrainian borders includes air defense systems. Russia has vocally denied any the presence of military equipment and troops. Russia’s aggressive behavior in sending troops will undoubtedly raise alarm in the international community. Russian officials have referred to the troops in Ukrainian territory as “volunteers.” Allegedly Russian conveys have been spotted moving toward, the Donetsk region of the Ukraine. The coveys are as large as over one hundred vehicles. Russia is clearly preparing itself for a massive conflict which will likely take place in Ukrainian borders.

Due to Russia’s aggressive action the United Nations Security Council was forced to meet and discuss the issue. NATO is unclear of Russia’s intentions for the Donetsk region as the region occupies a large portion of Ukraine. Russia may be attempting to use the region to strengthen separatist movements as Donetsk has proclaimed itself, Donetsk People’s Republic. While a cease fire is still technically in effect between Russia and Ukraine it is only a matter of time, before both nations engage in military conflict. 

Wednesday, November 5, 2014

Gunvor Group

            The Russian conflict in the Ukraine has led the United States and other Western, nations to impose sanctions on Russia. One of these sanctions prohibited the importation and sale of Russian oil in the United States. Prior to these sanctions being formally announced; Gennady Timchenko, an Arminian billionaire sold his stakes in the multibillion dollar oil corporation, Gunvor Group. In addition to the sale of his shares at a suspicious time, Timchenko has been accused of transferring funds between accounts through illegal methods. Timchenko’s assets in the United States have been frozen. Timchenko is an alleged member of, Russian President Vladimir Putin’s inner-circle. The two have an extensive work relationship since the early 1990s and attend the same judo club. Putin has profusely denied, any correlation between the Gunvor Group’s successes due to his relationship with Timchenko. Putin’s personal wealth is said to be directly correlated with the success of the Gunvor Group.

            Timchenko’s suspicious actions have caused; he and Putin to be put under investigation by the: U.S. Attorney’s Office and the Justice department. Both agencies have assembled an FBI to investigate allegations of money laundering and “irregular sales of state assets like oil” (WSJ). Certain Russian government contracts required the mandatory use of the Gunvor Group for distribution. The Gunvor Group also marked up the sales of oil barrels a dollar to the price per-barrel. Gunvor Group‘s accusation of “irregular sales” may stem from Gunvor’s sale of oil to third-parties. While Putin may deny the accusations against him, in order to avoid self-incrimination; if any proof were to surface Putin incriminating it would end with him potentially be imprisoned.  Any evidence proving Putin’s criminal charges may end with him being extradited and sent to the United States.