"How did American Oil get under Iraq?"
Remember that famous quote used by several comedians, picked up by anti-war activists? "How did American Oil get under Iraq?" It was used to paint George W Bush motivation as stealing Iraqi Oil for the US.
It's been revealed that the Iraqi War and Rebuilding will cost the US US$2 Trillion. That is, $2,000,000,000,000.
Now, the average barrel of oil sells for US$55. Assuming US$15 for production and distribution costs, that makes US$40 per barrel profit.
Now, get out your calculators. US$2 Trillion divided by US$40 = 50 Billion Barrels of oil. Current Iraq Oil Production is about 2 million barrels per day. At current rates, that will take 68.5 years to repay the capital cost, not figuring interest.
Assuming 3% interest on the capital, the cost of the war is never paid off. (4 million barrels a day covers the cost of the capital.)
But of course, the US doesn't actually see any of the money from Iraqi Oil Production - most belongs to the Iraqi Government with a share going to some oil companies who provide the technical expertise.
So, hands up all those who still think invading Iraq was all about oil? Bush invaded Iraq because it was in the USA's Security Interests, which is his job to protect.
It's been revealed that the Iraqi War and Rebuilding will cost the US US$2 Trillion. That is, $2,000,000,000,000.
Now, the average barrel of oil sells for US$55. Assuming US$15 for production and distribution costs, that makes US$40 per barrel profit.
Now, get out your calculators. US$2 Trillion divided by US$40 = 50 Billion Barrels of oil. Current Iraq Oil Production is about 2 million barrels per day. At current rates, that will take 68.5 years to repay the capital cost, not figuring interest.
Assuming 3% interest on the capital, the cost of the war is never paid off. (4 million barrels a day covers the cost of the capital.)
But of course, the US doesn't actually see any of the money from Iraqi Oil Production - most belongs to the Iraqi Government with a share going to some oil companies who provide the technical expertise.
So, hands up all those who still think invading Iraq was all about oil? Bush invaded Iraq because it was in the USA's Security Interests, which is his job to protect.
posted by Michael at
8:21 PM
1 Comments:
It is absolutely true that oil was NOT a cause for the invasion. That is a left-wing myth. But neither was security the reason. That is a right-wing myth. Invading Iraq did not make the US more secure nor did it do anything to punish the people who actually attacked the US. If anything it diverted attention and resources away from capturing them to trying to keep a lid on the mess in Iraq.
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Anonymous, at 10:20 PM
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