Talk at the Mexico Shale Summit underway in San Antonio is about creation of a joint U.S. Mexico and Canada oil production effort to make North America completely energy independent and further paralyze OPEC and other Middle eastern oil producers, News Radio 1200 WOAI reports.
Chris Faulkner, COP of Breitling Energy Corporation and a major player in the Eagle Ford and other shale and tight oil plays, says it makes sense for the U.S. to help form our own cartel.
“The United States can no longer afford to be at the mercy of these countries, which have now essentially put a target on our backs,” Faulkner said.
Faulkner praised Mexico’s President Enrique Pena Nieto for taking the lead in breaking the PEMEX monopoly and opening Mexico’s rich shale and traditional oil fields to private exploration. He says Canada also has very large traditional and tar sands oil deposits which could also become part of the North American Cartel.
Faulkner says this wouldn’t mean that the North American Cartel could control the world price of oil because OPEC would still be a major producer, especially Saudi Arabia. But he says it would significantly decrease the power of OPEC to manipulate prices, like the Saudis are currently doing in hopes of crippling U.S. shale production.
“Our landlocked partners have to be in our own Cartel, to send signals to our competitors, who have made it clear that they don’t think too highly about what we are doing over here,” he said.
Faulkner says what he calls the North American Energy Confederation would allow North America to chart its own energy course, and not to have to repeatedly dispatch troops and spend trillions of dollars protecting other people’s oil production and oil shipping routes in the Middle East and Persian Gulf.
“We can put some of these OPEC countries out of the oil business,” he said. “I think that scares them greatly.”
By: News Radio 1200 WOAI Reports