No Oil Price Cuts For Saudi Arabia

             OPEC’s (Oil and Petroleum Exporting Countries) leading member Saudi Arabia is currently refusing to lower oil prices in the market. Saudi Prince Turki al-Faisal al-Saud refuses to lower his nation’s oil prices for two reasons. The first being he refuses to allow his nation to repeat mistakes from the past. The Saudi Prince is referring to, a previous instance in which Saudi Arabia had cut oil prices and allowed its competitors to make generous profits, from their oil. Therefore Saudi Arabia will only cut the price of its oil if its competitors agree to do the same. Saudi Arabia’s main competitors are Iran, Russia and the U.S. and will not cut prices unless these states do as well. Both Saudi Arabia and Iran cannot afford to take price cuts in the oil market. For Saudi Arabia to ask these nations to cut the price of their oil would be asking the country to intentionally damage its economy.

Russia is currently taking a massive loss in the oil industry and other markets, due to the sanctions placed on the state by the international community. Iran simply cannot afford to lower oil prices without taking a major economic hit. Speculation seems to indicate Saudi Arabia’s hard stance on cutting its oil prices may be to intentionally damage the economy of Iran and Russia. Saudi Arabia would seek to hurt the Iranian and Russian economies for their support of the al-Assad regime in Syria. Without the support of Iran and Russia, Syria’s capitol Damascus would not stand on its own for too long. The fall of Damascus and lack of Iranian aid in Syria would allow, for Saudi Arabia to claim its status of hegemon in the Middle East against its rival.

Source : http://www.telegraph.co.uk/finance/newsbysector/energy/oilandgas/11268611/OPEC-Saudi-Prince-says-Riyadh-wont-cut-oil-unless-others-follow.html

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).

Sources: http://www.nytimes.com/2014/11/19/us/politics/what-does-the-proposed-keystone-xl-pipeline-entail.html

http://www.reuters.com/article/2014/11/19/us-usa-keystone-idUSKCN0J20EQ20141119 

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. 

Source: http://www.nytimes.com/2014/11/13/world/europe/ukraine-russia-military-border-nato.html?hp&action=click&pgtype=Homepage&module=first-column-region&region=top-news&WT.nav=top-news&_r=0

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. 

Source: http://online.wsj.com/articles/u-s-money-laundering-probe-touches-putins-inner-circle-1415234261

Syrian Forces Look to Cripple Rebel Opposition

    It may seem the Assad regime and the United States may have a common enemy in ISIS. While the odds of the U.S. and Syrian army joining forces to combat the militant group are slim; the Assad regime has much to benefit from bringing down a group of ISIS members. ISIS members are expected to rendezvous with Syrian rebels. If the Syrian rebels and ISIS rendezvous the Assad regime has much to lose. ISIS is expected to provide Syrian rebels with both arms and training. Currently Syrian military forces have allied themselves with Shiite militants from both Lebanon and Iran (Washington Post).  The primary target as of now for Assad and his allies on the ground is Aleppo. The main goal for Aleppo is to stop supplies from reaching the rebel forces. The Syrian military and its allies plan to reach this goal by surrounding the city. Currently Assad’s forces are attempting to take a village north of Aleppo. While the ground forces continue their campaign, Assad’s air forces are dropping barrel bombs. Barrel bombs are highly explosive and are dropped from helicopters, as of now over 120 bombs are reported to have been dropped (Washington Post). If Assad and his allies are successful in taking Aleppo from the rebels it would be a major victory in a three year confrontation.

            According to the Washington Post approx. 200,000 people have died since the confrontation began in 2011. After the rebels are dealt with, the Syrian forces are likely to shift their attention to ISIS. 

Source: http://www.washingtonpost.com/world/middle_east/as-us-attacks-islamic-state-syria-steps-up-assaults-on-moderate-rebels/2014/10/22/50f53ed2-2c6a-414e-93cd-ea5741ad51d5_story.html

Chemical Weapons in Iraq

            The United States occupation of Iraq after 9/11 has always been the subject of controversy since President Bush had announced the plan. Some saw the occupation as a method to oppose Western ideals on a nation in the Middle East in the wake of a national tragedy, along with various other reasons. Many families mourned the loss of loved ones who sacrificed their lives in order to spread democracy and confiscate weapons of mass destruction.  Since the initial occupation of Iraq we the public have been told no weapons of mass destruction either chemical or nuclear were found in Iraq.

            Today, the New York Times released a story which detailed the account of a group of United States soldiers, whom were exposed to mustard gas while in Iraq. In 2008 the group had discovered an estimated “5,000 chemical warheads, shells or aviation bombs” (New York Times). Soldiers whom were exposed to mustard gas were denied treatment. Some of the troops were even instructed to lie about the incident and even deny the existence of such chemical weapons.  It is estimated “17 troops and seven Iraqi policeman were exposed” (Christian Science Monitor).

            On a separate a team of two snipers on a steak-out had recovered a non-descript shell. The commanding officer upon obtaining the shell deiced to pull out and return near their base. When the two shad come close to base the shell was to be destroyed and disposed of. Upon destruction of the shell the soldiers immediately became sick, the shell had contained saline gas. The commanding officer had put his team at risk along with his entire base as they raced back in order to receive treatment. The officers were given cover up stories and continued to stay in service after their exposure to a deadly nerve agent.

            These are only two stories out of a New York Times article which covers the stories in further detail, along with similar incidents which occurred in Iraq.  

Sources: http://www.nytimes.com/interactive/2014/10/14/world/middleeast/us-casualties-of-iraq-chemical-weapons.html?smid=fb-share&module=ArrowsNav&contentCollection=Middle%20East&action=keypress&region=FixedLeft&pgtype=Multimedia

http://www.csmonitor.com/World/Security-Watch/Backchannels/2014/1015/US-military-denied-treatment-to-soldiers-exposed-to-chemical-weapons-in-Iraq-video

Changes in the Secret Service

                        The Secret Service, is tasked with protecting the President, his family, and other key politicians.  Julia Pierson Secret Service Director, resigned earlier today after several security slips. The slips in security under the direction of Pierson, may have potentially lead to successful attacks on the President, his family, other politicians. In fact a man had jumped the fence of the White House with a knife and ran through the White House. After a short period of time the attacker had been tackled by an off-duty agent. Other slips in security include allowing a contract bodyguard with a gun to enter the elevator with the President. Pierson had also failed to accomplish various basic managerial decisions. Pierson constantly failed to adjust the coverage of agents due to under staffing. Agents had to be pulled from other duties to be relocated with expenditures paid in full by the Secret Service.

            Former Director Pierson, had desired to make the Secret Service, “more friendly and inviting.” The Secret Service having a laid back demeanor is unnecessary as the lives of other individuals are at stake. The Washington Post’s Carol Leoning, refers to the change in leadership as the, “Secret Services’ biggest crisis since President Regan’s shooting.”   Pierson’s frequent slips in security will not be missed by those in the Service. A change in leadership is the first step in reshaping the Secret Service to the agency it needs to be.

            Former Secret Service Agent Joseph Clancy has been selected to replace Pierson temporarily. The reaction to Clancy taking on the role of Director temporarily, has been positive. Clancy prior to retiring had ran President Obama’s security team. It is highly unlikely that Clancy will make any drastic changes to the Secret Service.  Since, the odds of Clancy becoming Director permanently are low. Under Clancy the Secret Service is expected to be able to perform without any slips in security. Once a new Director is selected the Secret Service is expected to make an overhaul in policies and performance. Expectations for the Secret Service in a post-Pierson era are high.

Source: http://www.washingtonpost.com/politics/pierson-failed-to-provide-fresh-start-for-secret-service-that-administration-wanted/2014/10/01/51a642a2-49a8-11e4-891d-713f052086a0_story.html