Dollar no longer primary oil currency as China begins to sell oil using Yuan

Originally posted by ChaoticOrder
Now we're talking serious business here. This is humungous. Russia is the largest oil producing country on Earth. This has opened the floodgates for a whole world of alternative-currency oil trade. Wow folks... I'm stunned. The media will not make a peep about this I bet.

Can you cite that? Last I checked the US had about 2000 rigs and Russia was about half that.

Originally posted by OccamsRazor04

Originally posted by ChaoticOrder
Now we're talking serious business here. This is humungous. Russia is the largest oil producing country on Earth. This has opened the floodgates for a whole world of alternative-currency oil trade. Wow folks... I'm stunned. The media will not make a peep about this I bet.

Can you cite that? Last I checked the US had about 2000 rigs and Russia was about half that.

en.wikipedia.org...
www.investopedia.com...

reply to post by ChaoticOrder


That adds oil and natural gas together unless I am reading it wrong.

Note that oil production refers to the sum of barrels of crude oil extracted each day from drilling operations compounded with the equivalent production of natural gas liquids and refinery gains from domestic or imported petroleum production

ETA: I am actually really curious because I haven't been able to find these statistics. So if you do that would be awesome!

reply to post by OccamsRazor04


I don't think that is what it means, it's worded in a weird way so I'm not exactly sure what it means. But these are easy to find statistics. Just search it. Here's the CIA Factbook data: www.cia.gov...

In that list the numbers are roughly the same however they have Russia in 2nd place just behind Saudi Arabia. However that CIA data is from 2010 and the Wikipedia page is probably more up to date and accurate.

EDIT: actually what it means is that it is counting the amount of crude which is contained in the natural gas liquids. Natural gas liquid often comes from crude wells and so crude oil is often found as a common contaminant of natural gas liquid.

reply to post by ChaoticOrder


That is my problem, I am not sure exactly what is included in the numbers. In terms of oil rigs I do know those numbers. The US has 2000, Russia about 1000 I believe. Now those numbers do not tell you about production levels, I haven't been able to find those figures. The site you listed seems credible, which puts US, SA, and Russia side by side basically. About what I figured.

ETA: I think a lot of this is political posturing. I do not see China becoming a big player any time soon. Russia not wanting to use the US dollar is unsurprising. As Romney eloquently stated, they are our biggest geopolitical foe and attempt to destabalize us every chance they get. China is usually at their side.

reply to post by OccamsRazor04

Now those numbers do not tell you about production levels, I haven't been able to find those figures.

It's obviously quite simple to find that because I found multiple sources within minutes.

The site you listed seems credible, which puts US, SA, and Russia side by side basically. About what I figured.

As I said, the CIA site is obviously credible (well that's debatable), however the data is from 2010, it is outdated data. The information on the Wikipedia page is likely to be much more representative of present production rates.

Russia not wanting to use the US dollar is unsurprising.

You're missing the point once again. It may not be very surprising to you, but that doesn't change the fact this is huge news with huge global economic implications. There's no need to marginalize the issue here.

I wish my reply could be more of an educated response and less like dreaded fb, but I'm slightly flabbergasted at this thread. Cheers to you, purplemer. I know you don't tread lightly.
Thanks for all the additional info, ChaoticOrder!
This should be huge news - all of it, including the Russian connection you also pointed out.

And all I can think of is a line from an old Arc Angels tune "Doin' Pretty Good For the Shape I'm In"
It goes "... doin' like the dollar goin' up against the yen, doin' pretty good for the shape I'm in.."

If this is all going down, this is huge. For everyone.

Anything else is better than dollar.

Because of crazy Euro/Dollar rate, I have to pay 1,80 €/l (8,88 USD/gallon) for gasoline. Price is outrageous, I bet around winter I have to pay like 2 Euros for a litre. WAY TOO EXPENSIVE!

reply to post by purplemer


Please correct me if I am wrong.And I really hope I am wrong.
But to my understanding,this means that the U.S. just moved a little bit closer to being a Third World country.

egads...this is very big news..havent heard anything in the us news about this yet..maybe i just missed it but that is besides the point.

china just announced this a weekish ago....time will build up more momentum and this also sets..a precident..so now will other countries start to change thier policy on oil trade as well? or maybe shift to buying more oil from china....the oil monopoly cant last forever........

As with the downfall of any empire, the USA will become more and more irrelevant on the world stage. This is just the beginning.

Originally posted by OccamsRazor04

Originally posted by ChaoticOrder
This story is a lot bigger than it seems... the U.S. has invaded and overthrown Governments because they attempted to undermine the petrodollar monopoly by using their own currency. Saddam attempted to do it with the EURO and Gaddafi attempted to do it with the Gold Dinar (more info).

But China isn't just any little Middle Eastern nation is it. China is a whole other ball game. It's not so easy to push them around and terrorize their people. China has the funding and man power to fight any war you throw at them. We must avoid war at all costs because it would destroy our planet.

If this report is real and if China is actually serious about this you can some huge developments in the near future. The U.S. dollar is propped up so much by it's heavy use in oil trade, that's why the U.S. Government will tear apart entire nations to stop them from threatening that monopoly.

When did we invade Europe and Canada. You do realize many countries around the world use the Euro as their petrodollar.

You do realize that petrocurrency is different than selling oil in a different currency than the US dollar don't you?

Thats some big news. No wonder oil has been on the march up these passed two weeks. Im checking now and its at $99.02 a barrel right now. Gas at my location is $4.25 a gal!!!!

Plus you have open QE3 so its like a double wammy

Originally posted by boeserwolf
As with the downfall of any empire, the USA will become more and more irrelevant on the world stage. This is just the beginning.

How does the country with the greatest military machine in history EVER become"irrelevant"?

Originally posted by ChaoticOrder
This story is a lot bigger than it seems... the U.S. has invaded and overthrown Governments because they attempted to undermine the petrodollar monopoly by using their own currency. Saddam attempted to do it with the EURO and Gaddafi attempted to do it with the Gold Dinar (more info).

But China isn't just any little Middle Eastern nation is it. China is a whole other ball game. It's not so easy to push them around and terrorize their people. China has the funding and man power to fight any war you throw at them. We must avoid war at all costs because it would destroy our planet.

If this report is real and if China is actually serious about this you can expect some huge developments in the near future. The U.S. dollar is propped up so much by it's heavy use in oil trade, that's why the U.S. Government will tear apart entire nations to stop them from threatening that monopoly.

edit on 14/9/2012 by ChaoticOrder because: (no reason given)

Most likely the US response to this would be economic, as you say China is not a target they can intimidate with Military might.

They could however respond with Tariffs and increased taxes on goods coming from china (something that should of been happening the whole time) China and the US economy has become too interdependent on one another.

China is trying to insert its will on the world stage, of course the previous powers would oppose it in some way.

How many jobs would China's growing middle class lose if suddenly it was cheaper to make things like the Iphone in another country due to the US finally cracking down on imports?

This is probably the opening shots in economic warfare.

Originally posted by OccamsRazor04
reply to post by WiseThinker

 

China has no military power. They are trying to flex political and economic power though. It will become news when their currency starts being used.

Does not have to have military power. Nukes make this a game that US cant win. That is why no small states can have em. When mutual total destruction is at hand the US cannot be a parasitic bully stealing lunchmoney all over the place but has to frankly behave.

Originally posted by OccamsRazor04
reply to post by ChaoticOrder

 

Oh, and I will gladly educate you a bit further as you seem to have nothing for me. China has spent a great deal of effort devaluating their currency. If they replaced the dollar their currency would skyrocket. What happens to a country who lives on cheap exports when their currency skyrockets?

A FAR better question (being you're an American) is what happens to the country that's living off of those cheap exports?

Stop manipulating their currency? Why would you want that? It's a mutually beneficial relationship. Your corporations willing outsourced your jobs and infrastructure, Americans willing replaced it with a consumption based economy (from factories to big box stores). You've filled these stores, for years now, with cheap Chinese junk. China manipulating their currency artificially inflates your purchasing power (whilst artificially deflating Chinese citizens purchasing power). China morphing into a semi consumption based economy is inevitable, sooner rather than later. They're already weening themselves off of the American market, they have no choice (had a look at real unemployment lately?).

Also, what do you think the effect is of your central bank QE'ing 20 trillion plus dollars into existence?

Tell me, what force projection does China have?

I'd think their ICBM's are capable of wiping America off the face of the Earth, nothing your "force projecting" (sitting duck) carriers can do about those.

How does the country with the greatest military machine in history EVER become"irrelevant"?

-Russians circa 1989

I say the American people stop paying taxes (use the $ to rebuild infrastructure) and instead move back to the foundation that made us great.

Build and create American made factories and undermine chinas poor and shoddy workmanship with grade A+ products, goods and services.

Not allow ANY of the corporate geed mongers and bailout kings to ever do business with us again. Let them keep their bondage factories and peddle their wares elsewhere.

Originally posted by AgentX09

Originally posted by boeserwolf
As with the downfall of any empire, the USA will become more and more irrelevant on the world stage. This is just the beginning.

How does the country with the greatest military machine in history EVER become"irrelevant"?

It becomes irrelevant when its not usable, can you bomb china? no, can you invade china? no, can you nuke it? no at which point what the hell does trillions worth of military gain you on the diplomatic table?