http://www.bloggernews.net/116434 High-quality English language analysis and editorial writing on the news. Wed, 25 Nov 2009 19:01:14 +0000 http://wordpress.org/?v=2.3.3 http://www.bloggernews.net/116434#comment-397029 fdekker Mon, 30 Jun 2008 18:32:41 +0000 http://www.bloggernews.net/116434#comment-397029 The writer of this article has absolutely no idea of what the International oil industry is all about, and re-prints the tired old anti-Big Oil comments which make good political reading. Firstly: Huge amounts of capital are required to first explore for and then produce oil. With offshore wells costing in excess of US$30 million, and production facilities in the hundreds of milions, and even billions, no commercial bank nor national treasury would be well advised to bankroll any exploration projects. Secondly, technology: While it is true that technology can be bought in today's oil industry, it is still easy to buy the wrong and ineffective technology, and it is in its application by well-trained geologists and engineers that the techology is most effective. Thirdly: Management capabilities. The international oil industry has a very big pool of well trained and seasoned managers; a pool none of the National Oil Companies can match. Finally, the anti-corruption laws of the United States and the European Union countries ensure that in almost all cases, internatonal oil operations by the international oil companies are well managed and transparent; something few of the national oil companies can claim. The writer of this article has absolutely no idea of what the International oil industry is all about, and re-prints the tired old anti-Big Oil comments which make good political reading.
Firstly: Huge amounts of capital are required to first explore for and then produce oil. With offshore wells costing in excess of US$30 million, and production facilities in the hundreds of milions, and even billions, no commercial bank nor national treasury would be well advised to bankroll any exploration projects.
Secondly, technology: While it is true that technology can be bought in today’s oil industry, it is still easy to buy the wrong and ineffective technology, and it is in its application by well-trained geologists and engineers that the techology is most effective.
Thirdly: Management capabilities. The international oil industry has a very big pool of well trained and seasoned managers; a pool none of the National Oil Companies can match.
Finally, the anti-corruption laws of the United States and the European Union countries ensure that in almost all cases, internatonal oil operations by the international oil companies are well managed and transparent; something few of the national oil companies can claim.

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