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Bush, CITGO, corruption, critical energy infrastructure, crude oil, debt, economy, energy, environment, gasoline, Illinois, Impeach Trump Now!, Kremlin, Louisiana, Maduro, Mnuchin, National Security, NJ, PdVSA, PdVSA Loan default, Petroleos de Venezuela, petroleum, Putin, Reagan, Rosneft, Russia, State Department, Texas, Treasury Secretary, Trump, US DOE, USA, Venezuela
CITGO Corpus Christi TX Fire in 2009: http://www.csb.gov/csb-issues-urgent-recommendations-to-citgo-finds-inadequate-hydrogen-fluoride-water-mitigation-system-during-corpus-christi-refinery-fire-last-july/ Venezuela bought 50% of CITGO in 1986. By 1990 Venezuela had bought all of CITGO. https://en.wikipedia.org/wiki/Citgo Reagan was US President in 1986; Bush Sr was the President in 1990. Why was a foreign government allowed to buy critically important infrastructure back then?
Both Democratic and Republican Senators have pointed out the “serious national security concerns over the potential takeover by Russia’s state-controlled oil company of critical U.S. energy infrastructure that could put Vladimir Putin and his associates in position to influence American gas prices and oil refinery production. Rosneft—a majority Russian government-owned oil company run by Putin crony Igor Sechin—could acquire a significant ownership share in CITGO Petroleum Corporation’s Venezuelan parent company, Petroleos de Venezuela S.A. (PdVSA), if PdVSA defaults on a loan backed by Rosneft… “Russia has also expressed strong opposition to existing sanctions. As such, we are extremely concerned that Rosneft’s control of a major U.S. energy supplier could pose a grave threat to American energy security, impact the flow and price of gasoline for American consumers, and expose critical U.S. infrastructure to national security threats.” CITGO operates a notable portion of the nation’s energy infrastructure with 48 petroleum product terminals in 20 states, including one in Linden, N.J., three refineries in Texas, Louisiana and Illinois, three fully-owned Texas pipelines, and six partially-owned pipelines. To shore up its financial footing, PdVSA put up 49.9% of its ownership share in CITGO as collateral for a loan it took last year from Rosneft. Rosneft has also potentially acquired other PdVSA bonds on the open market, raising the possibility that it could take a majority stake in CITGO should PdVSA default…” https://www.durbin.senate.gov/newsroom/press-releases/durbin-sounds-alarm-over-potential-russian-takeover-of-us-energy-infrastructure
The problem is that “Only the President has the authority to suspend or prohibit a covered transaction, under CFIUS“. While this case clearly falls under National Industrial Security Program Operating Manual (‘‘NISPOM”), as well as CFIUS, it is unclear who ultimately acts under NISPOM – is it the President again? [1]
So, it is critically important to hurry up and impeach Trump now for this reason alone, unless the US Congress can stop it under NISPOM or can override Trump on CFIUS or by some other means. It’s another good reason to quickly change to renewable energy, which will be slower with Trump pushing fossil fuels and nuclear.
And, it sounds like that Russia may already be having an impact: “Exclusive: Venezuela cuts oil supply to Citgo as Russia’s Rosneft gets more” AUGUST 3, 2017 [2]
Pence should be investigated and may be impeachable too. [3]
As of Friday, Putin buddy “Former German Chancellor Gerhard Schröder is now chairman of the Russian energy giant Rosneft’s board of directors….“ [4]
“Menendez, Rubio Ask Trump Admin to Clarify Efforts to Prevent Potential Russian Takeover of US Energy Infrastructure: Letter seeks to confirm official CFIUS investigation is underway for Rosneft’s Potential Acquisition of PdVSA and Citgo Tuesday, September 19, 2017
WASHINGTON, D.C. – U.S. Senators Bob Menendez (D-N.J.) and Marco Rubio (R-Fla.), the leaders of the Senate Foreign Relations Subcommittee on Western Hemisphere, today sent a letter to Treasury Secretary Steven Mnuchin requesting clarification of the Trump Administration’s efforts to prevent Rosneft’s potential acquisition of Venezuela’s PdVSA and its American subsidiary Citgo.
Following media reports and inconclusive updates by Trump administration officials, the Senators’ letter seeks to confirm the Committee on Foreign Investment in the U.S. (CFIUS) has officially opened a full review into Citgo’s ownership.
Earlier this year, Venezuela mortgaged a huge stake in its state-owned oil company PdVSA to Russia’s Rosneft.
The dire state of Venezuela’s economy under the dictatorship of Nicolas Maduro provided the Kremlin a unique opportunity to possibly operate an extensive network of refineries and pipelines across the United States if Citgo’s parent company PdVSA defaults on billions in loans to Rosneft – a likely scenario according to respected international market analysts.
Citing the threats posed to our national security, economy and energy independence by the potential acquisition of critical U.S. energy infrastructure, the Senators wrote: “…we have yet to receive any official notification or guidance from either the Treasury Department or State Department on the ongoing review process. Given Venezuela’s increasingly dire economic and humanitarian situation, we are seriously concerned with a possible acquisition by Rosneft of PdVSA and Citgo. Can you please advise whether CFIUS is currently reviewing this situation? And if not, why not?”
As Chair of CFIUS, the Secretary of Treasury is tasked with spearheading review processes of foreign investments in the U.S. for potential national security concerns. As the Senators previously requested, CFIUS should open an official inquiry over the dangers posed by the potential ownership of U.S. oil properties by a Russian state-owned firm.” https://www.menendez.senate.gov/imo/media/doc/Mnuchin-PdVSA-Rosneft-Letter-FINAL.pdf
Senator Menendez also held a press conference earlier this year to outline the threats posed to our national security, economy and energy independence by the potential acquisition of critical U.S. energy infrastructure—including a Trembley Point facility in Linden, N.J.—by majority Russian-government-owned Rosneft. https://www.menendez.senate.gov/news-and-events/press/video-menendez-raises-concerns-over-potential-russian-takeover-of-us-energy-infrastructure
A copy of the letter to Secretary Mnuchin can be downloaded here: https://www.menendez.senate.gov/imo/media/doc/09182017%20Letter%20to%20Sec%20Mnuchin%20re%20CFIUS%20review%20process.pdf
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https://www.menendez.senate.gov/news-and-events/press/menendez-rubio-ask-trump-admin-to-clarify-efforts-to-prevent-potential-russian-takeover-of-us-energy-infrastructure
Head of Treasury is the Foreclosure King Mnuchin. Head of State Department, Tillerson is former Exxon CEO and Putin friend and even received Russia’s Order of Friendship medal.
[1] “Only the President has the authority to suspend or prohibit a covered transaction. Pursuant to section 6(c) of Executive Order 11858, CFIUS refers a covered transaction to the President if CFIUS or any member of CFIUS recommends suspension or prohibition of the transaction, or if CFIUS otherwise seeks a Presidential determination on the transaction. In order to exercise the authority to suspend or prohibit a covered transaction under section 721, the President is required to make two findings: (1) That there is credible evidence that leads the President to believe that the foreign interest exercising control might take action that threatens to impair the national security; and (2) that provisions of law, other than section 721 and the International Emergency Economic Powers Act (‘‘IEEPA”), do not, in the judgment of the President, provide adequate and appropriate authority for the President to protect the national security. 74568 Federal Register / Vol. 73, No. 236 / Monday, December 8, 2008 / Notices https://www.treasury.gov/resource-center/international/foreign-investment/Documents/CFIUSGuidance.pdf
[2] “Exclusive: Venezuela cuts oil supply to Citgo as Russia’s Rosneft gets more” AUGUST 3, 2017 https://www.reuters.com/article/us-venezuela-usa-citgo-pete/exclusive-venezuela-cuts-oil-supply-to-citgo-as-russias-rosneft-gets-more-idUSKBN1AJ1JI
“Pence May be Vulnerable to Impeachment Based Upon Trump’s New Memo, Suggests Law Professor An obstruction of justice charge could be in the cards“. By Sarah Burris / Raw Story https://www.alternet.org/pence-may-be-vulnerable-impeachment-based-upon-trumps-new-memo-suggests-law-professor
[4] From Deutsche Welle:
“The Rosneft seat and Gerhard Schröder’s Kremlin credentials
It’s official. Former German Chancellor Gerhard Schröder is now chairman of the Russian energy giant Rosneft’s board of directors — an appointment that has caused plenty of controversy here in Germany.” Date 29.09.2017 Author Richard Fuchs” Read the article here: http://www.dw.com/en/the-rosneft-seat-and-gerhard-schröders-kremlin-credentials/a-40746436
“Citgo ordered to pay $2 mln for environmental violations in Texas
Posted:Wed, 05 Feb 2014 20:16:43 -0500
NEW YORK, Feb 5 (Reuters) – A U.S. judge on Wednesday ordered Citgo Petroleum Corp to pay more than $2 million for violations of U.S. environmental laws over toxic emissions at the company’s refinery in Corpus Christi, Texas, from 1994 to 2003“. http://feeds.reuters.com/~r/reuters/basicmaterialsNews/~3/58fzDHp9GLg/citgo-environment-idUSL2N0LB01E20140206
Emphasis our own throughout.
Mining Awareness + 
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