Monday, 12 July 2010

US Gives Go-Head to BP Takeover

A few weeks ago, when the US President was attempting to act tough with BP, one of my regular readers asked the question 'What's Obama up to?' The MSM, on both sides of the Atlantic, were profuse with their commentaries, many of which desperately tried to convey President Obama as a caring individual even though he had ignored the spill for some considerable time, yet there were a few who were cynical.

We're all aware American companies were involved in the drilling process for the project but not much was said about them and their shares held their value, whilst BP's dropped like a stone; partly because of the President's vitriol aimed at BP senior management. The protests from the UK regarding the fact that nearly half of BP's shareholders are American appeared to fall on deaf ears and the US President continued to emphasise the British association with BP - until the Prime Minister decided to take some action and telephone President Obama. Since then there has been relatively little spin from the White House.

'What's Obama up to' is answered today in the Sun. The paper alleges the US oil company Exxon has been given White House approval to make a £100 billion bid for BP. Sources said Exxon was told President Obama's administration would not stand in the way of any deal. According to the article BP has been trying to persuade investors across the Middle East to buy share to stop a takeover from a rival such as Exxon.

So becoming personal about the bosses of a multinational company may well pay off for the US President. There's no doubt many in Britain will be keeping a close eye on the situation.


Demetrius said...

So Exxon's lobbyists and givers of gifts put out a lot more cash and benefits to members of Congress and the Democratic party than did BP? So much for democracy and The American Dream.

JRB said...

Over recent years, involvement in two wars, and questionable support for Israel, America’s influence in the Middle East is not perhaps what it once was.
Its supply of essential Arab oil is no longer as secure as America might wish.

The oil spill, tragic in its own way, has been nonetheless a God-send to long term American interests. All that strategic planning by the the ‘good ol’ US of A’ is working out perfectly.

Obama’s intervention in the BP incident has knocked down the BP share price, so now an All-American company can walk in and pick a bargain. More of the world’s oil resources will come directly under American controlled power and influence.

And we should be surprised at this takeover, …because?

subrosa said...

Good morning John. I'm not surprised because Obama's recent behaviour has shown just how confident he is in achieving his goal, which you explain so well.

Publicly destroying people's reputations will now be common place in business. Gone are the days when it occurred behind closed doors.

Oldrightie said...

Obama is all about colour, Subrosa. As ever, the colour of money!

subrosa said...

Unfortunately that's the way it works these days Demetrius. That's why people sell their souls to get into politics.

subrosa said...

Yes indeed OR but what concerns me about this is the public vitriol he spewed about the BP management - once he became interested of course. I've never heard of such behaviour from a US president.

Apogee said...

100 billion pounds could be in reach of an Arab consortium. Exxon would be more interested in BP oil reserves than the company. Exonn found out the hard way about clearing up oil spills.
But if Exonn could split BP the company from its oil reserves and leave BP to clean up the mess (caused ,allegedly by US drilling companies)that's a different story!

subrosa said...

Lots of speculation around Apogee isn't there? But one thing's for sure BP will have changed hands by this time next year.

Dramfineday said...

Well, what's the special relationship for if you cant fleece your "friends". Wake up UK you've been framed - again!

subrosa said...

Hate to say it Dram, but you're right.


I see the prospective US purchasers, not just Exxon, don't have good safety and environmental records either.
It just confirms the deceit and hypocrisy of the Obamination.

subrosa said...

You're right Fairfacts. In fact it was just yesterday a reader sent me a few links about Exxon's history.

But that won't matter to the US. They want the company. They've put their front man out to ensure the price drops low enough to make it worthwhile.

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