Reply #40: If they build it, they will come [View All]

it sounds like it is going to be built & to poo-poo the threat to american hegimony with our current standing in the world & the fact of PEAK OIL is to simply whistle past the grave yard.

this is not just a market for iran to sell oil, it will be open to all & there will be a huge interest in getting oil from ANYONE you can, same as it ever was * 1000.

fyi

Iran is The Next Battle Field

By: Dr. Elias Akleh

...

To maintain the purchasing power of any currency its value must be backed by gold. The American Dollar is the exception to this rule. The Dollar is a fiat currency backed only by oil trade that uses only Dollar as its currency. Every country in the world must hold American Dollars to be able to purchase oil. The more demand for oil the more demand for the Dollar. This demand supports the value of the Dollar, and in turn supports the American economy. Switching oil trade from Dollar to Euro or to any other currency would reduce the demand for the Dollar, cause the reduction of its purchasing power and the inevitable collapse of the American economy.

Understanding the risk Iran is trying to win as much partners as it could on its side. Iran gave the Asian Capital Partners and the Future Bank of Bahrain permissions to invest 100 million Euros each in its stock market. Three other Lebanese big investors were also given permission to invest up to 50 million Euros in Iran’s stock market. Iran is now closing a deal with China that would make Iran the leading oil supplier to china. This long-term deal is valued at $100 billion. China’s demand for oil is expected to soar exponentially in the next few years. Iran is also negotiating with European gas companies such as Total, Shell and Repsol in an attempt to give them rights to produce liquefied natural gas (LNG) in Iran.

Iran was neither the first nor the only country to consider switching to Euro. In November 2000 Iraq made that shift. Through its Oil for Food Program Iraq had converted all its money in its UN account into Euro. It also had converted its $10 billion reserve fund into Euro. The American/British invasion of Iraq had put a stop to this switch, and they came to control the second largest oil source in the world, giving them a “veto power” in OPEC.

more...
http://www.amin.org/eng/uncat/2006/mar/mar5-0.html

peace