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Bolivia nationalizes natural gas industry

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  • #46
    Originally posted by Flubber


    Its awful paternalistic to assume that previous negotiated deals are some how theft by the oil comapnies
    Depends on how them deals are negotiated...
    Is it me, or is MOBIUS a horrible person?

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    • #47
      Does anyone here actually know anything about the deals in question?

      -Arrian
      grog want tank...Grog Want Tank... GROG WANT TANK!

      The trick isn't to break some eggs to make an omelette, it's convincing the eggs to break themselves in order to aspire to omelettehood.

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      • #48
        Originally posted by Arrian
        Does anyone here actually know anything about the deals in question?

        -Arrian
        I don't -- thats why I said its paternalistic to ASSUME the oil companies are "robbing" these countries


        But worldwide, the standard is to pay cash or work expenditure bid for exploration rights and then to pay a royalty on any production. The company's spend all the money and take all the risk and they are happy to pay twice for the oil (rights purchase and royalty) and then to pay income tax on top of that
        You don't get to 300 losses without being a pretty exceptional goaltender.-- Ben Kenobi speaking of Roberto Luongo

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        • #49
          Evo said they used to keep 82% of the profit and only give 18% to us, now that will change.

          I guess he will want like half now.
          I need a foot massage

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          • #50
            Originally posted by Brachy-Pride
            Evo said they used to keep 82% of the profit and only give 18% to us, now that will change.

            I guess he will want like half now.
            and to the ignorant and uninformed that sounds fair. But would they have PAID half if nothing had been found.

            Its so easy to talk about the "sure thing" once SOMEONE ELSE took the risks and did the work to find it
            You don't get to 300 losses without being a pretty exceptional goaltender.-- Ben Kenobi speaking of Roberto Luongo

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            • #51
              Oil companies don't do work. They pay people to do work. The work was already compensated for.
              I drank beer. I like beer. I still like beer. ... Do you like beer Senator?
              - Justice Brett Kavanaugh

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              • #52
                Originally posted by Brachy-Pride
                Evo said they used to keep 82% of the profit and only give 18% to us, now that will change.

                I guess he will want like half now.
                Seems like that's overlooking royalty payments of 50%.

                BBC, News, BBC News, news online, world, uk, international, foreign, british, online, service
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                • #53
                  Boliva has every right to do this, buyer beware.

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                  • #54
                    Well, the previous gov't made an extraction rights contract with the oil company based on a fixed sum (and expectations of a smaller oil reserve). When far more oil than expected panned out, Bolivians were rightly pissed off. But it looks like Morales went too far as far as just compensation goes...
                    "Beware of the man who works hard to learn something, learns it, and finds himself no wiser than before. He is full of murderous resentment of people who are ignorant without having come by their ignorance the hard way. "
                    -Bokonon

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                    • #55
                      Originally posted by Kidicious
                      Oil companies don't do work. They pay people to do work. The work was already compensated for.
                      Huh -- irrelevant-- whether the oil companies purchased an analysis or paid individuals to do the work, everyone understood that the company would own that analysis which coupled with ownership of underlying exploration rights, has and had value
                      You don't get to 300 losses without being a pretty exceptional goaltender.-- Ben Kenobi speaking of Roberto Luongo

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                      • #56
                        Originally posted by Ramo
                        Well, the previous gov't made an extraction rights contract with the oil company based on a fixed sum (and expectations of a smaller oil reserve). When far more oil than expected panned out, Bolivians were rightly pissed off. But it looks like Morales went too far as far as just compensation goes...
                        as I said, buyer beware.

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                        • #57
                          Brachy-Pride, do you actually live in Bolivia?

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                          • #58
                            Mr Morales said the gas fields were "just the beginning, because tomorrow it will be the mines, the forest resources and the land".
                            Is it me, or is MOBIUS a horrible person?

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                            • #59
                              By the way, the actual figure...

                              Companies have six months to negotiate new contracts with the Bolivian government. During that time, the Bolivian government says it will carry out audits of each company to determine how much it should pay for a stake of at least 51% in each.


                              ...is nothing spectacular. Chinese have been insisting for years that auto factories and some other industries in China can only be partnerships in which Chinese companies, local authorities and whoever, have a 50% stake.

                              To put things in perspective, even governments of the developed world sometimes nationalize stuff. This is probably going to cause more upset among the libertarian members of various internet fora than in business and political circles who are used to this kind of thing in South America (Chile: copper, Venezuela: oil, Bolivia: gas...).

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                              • #60
                                Originally posted by MOBIUS


                                Firstly, Bolivia has just had big business develop their HCs for them in a delicious fait accompli, therefore acquiring the revenue stream required for any future development.
                                If you think that the development is even close to complete, you're insane.
                                12-17-10 Mohamed Bouazizi NEVER FORGET
                                Stadtluft Macht Frei
                                Killing it is the new killing it
                                Ultima Ratio Regum

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