Cheney: Oops on China drilling off Cuba

Vice-President Dick Cheney's office has acknowledged he was wrong when he told the U.S. Chamber of Commerce on Wednesday that  China was drilling for oil off Cuba's coast, just 60 miles from Key West.

Republicans used that talking point this week as they pushed for opening more of the Outer-Continental Shelf to oil and gas exploration, including the eastern Gulf of Mexico off Florida. That talking point brought some intra-party push-back from Sen. Mel Martinez, Florida Republican, who took to the Senate floor to refute it.

Though that doesn't mean the Cubans don't want to.

You can read the full story below.

WASHINGTON (AP) — Vice President Dick Cheney's office acknowledged late Thursday that he was mistaken when he asserted that China, at Cuba's behest, is drilling for oil in waters 60 miles from the Florida coast.

In a speech to the U.S. Chamber of Commerce, Cheney said on Wednesday that waters in the eastern Gulf of Mexico, long off limits to oil companies, should be opened to drilling because China is already there pumping oil.

"Oil is being drilled right now 60 miles off the coast of Florida," the vice president said. "We're not doing it, the Chinese are, in cooperation with the Cuban government. Even the communists have figured out that a good answer to high prices is more supply."

He cited his source as columnist George Will, who last week wrote: "Drilling is under way 60 miles off Florida. The drilling is being done by China, in cooperation with Cuba, which is drilling closer to South Florida than U.S. companies are."

Congressional Democrats pounced on the vice president's remarks Friday and were backed up by independent energy experts, who called the assertion hyperbole at best and a falsehood at worst.

Cheney's office said in a statement to The Associated Press that the vice president had erred.

"It is our understanding that, although Cuba has leased out exploration blocks 60 miles off the coast of southern Florida, which is closer than American firms are allowed to operate in that area, no Chinese firm is drilling there," according to the statement.

Cuba clearly is interested in developing its deep-water oil resources, estimated at more than 5 billion barrels, including areas within 60 miles of Key West, Fla., energy experts said.

Jorge Pinon, a senior energy fellow at the University of Miami specializing in Latin America, said Cuba has awarded offshore oil leases, or concessionary blocs, in its offshore waters to six oil companies — none of them Chinese — and soon may announce an agreement with Brazil's state oil company, Petrobras.

"But no one is currently drilling in any of those concessions," said Pinon in a telephone interview. Pinon, who supports drilling in the eastern Gulf and believes it can be done without hurting the environment, said China is being raised as an unnecessary "boogeyman" by drilling proponents.

"There is no actual drilling yet. ... There is exploration," said Johanna Mendelson-Forman, a senior fellow on energy and Latin America at the Center for Strategic and International Studies.

She said China's oil company, Sinopac, has conducted exploratory drilling on a lease on land in western Cuba, but is not involved in the offshore development.

But talk of China drilling in waters within 50 miles to 60 miles of Key West has been a common theme among Republicans. They are clamoring to open more of the country's offshore waters to energy development, including the eastern Gulf where drilling is strongly opposed by Florida officials.

"China, thanks to a lease issued by Cuba, is drilling for oil just 50 miles from Florida's coast," Rep. George Radanovich, R-Calif., recently wrote in The Modesto Bee in California, arguing for opening waters that have been off limits for 25 years to U.S. companies.

Radanovich's office said the congressman was in transit and not immediately available Thursday.

House Republican leader John Boehner of Ohio, calling for more domestic oil production, declared, "right at this moment some 60 miles or less off the coast of Key West, Fla., China has the green light to drill for oil."

"Even China recognizes that oil and natural gas is readily available off our shores, thanks to Fidel Castro," complained Rep. Roy Blunt of Missouri, a leader of a GOP energy task force.

Rep. Edward Markey, D-Mass., accused the Republicans of pushing oil development by "scaring up the ghosts of communism and xenophobia" and "perpetuating a myth that China is drilling off the coast of Florida."

Comments

[Idiots in Congress. The Founders told us to be wary of attenuated representation at Wash, DC.]

Congress Vs. You
Tuesday April 29, 6:50 pm ET
Ibd

Energy: President Bush let the Democrat-led Congress have it with both barrels Tuesday, lambasting lawmakers for fiddling while the energy crisis burns. It was a well-deserved takedown of do-nothing lawmakers.
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We've said it before, but we'll say it again: This Congress is possibly the most irresponsible in modern history. This is especially true when it comes to America's dysfunctional energy policy.

The media won't call either the House or the Senate on its failures, for one very obvious reason: They mostly share an ideology with the Democrats that keeps them from understanding how free markets and supply and demand really work. Sad, but true.

So we were happy to hear the president do the job, calling out Congress for its inaction and ignorance in his wide-ranging press conference Tuesday.

"Many Americans are understandably anxious about issues affecting their pocketbook, from gas and food prices to mortgage and tuition bills," Bush said. "They're looking to their elected leaders in Congress for action. Unfortunately, on many of these issues, all they're getting is delay."

Best of all, Bush didn't let the issue sit with just generalities. He reeled off a bill of particulars of congressional energy inaction, including:

Failing to allow drilling in ANWR. We have, as Bush noted, estimated capacity of a million barrels of oil a day from this source alone -- enough for 27 million gallons of gas and diesel. But Congress won't touch it, fearful of the clout of the environmental lobby. As a result, you pay at the pump so your representative can raise campaign cash.

Refusing to build new refineries. The U.S. hasn't built one since 1976, yet sanctions at least 15 unique "boutique" fuel blends around the nation. So even the slightest problem at a refinery causes enormous supply problems and price spikes. Congress has done nothing about this.

Turning its back on nuclear power. It's safe and, with advances in nuclear reprocessing technology, waste problems have been minimized. Still, we have just 104 nuclear plants -- the same as a decade ago -- producing just 19% of our total energy. (Many European nations produce 40% or more of their power with nuclear.) Granted, nuclear power plants are expensive -- about $3 billion each. But they produce energy at $1.72/kilowatt-hour vs. $2.37 for coal and $6.35 for natural gas.

Raising taxes on energy producers. This is where a basic understanding of economics would help: Higher taxes and needless regulation lead to less production of a commodity. So by proposing "windfall" and other taxes on energy companies plus tough new rules, Congress makes our energy situation worse.

These are just a few of Congress' sins of omission -- all while India, China, Eastern Europe and the Middle East add more than a million barrels of new demand each and every year. New Energy Department forecasts see world oil demand growing 40% by 2030, including a 28% increase in the U.S.

Americans who are worried about the direction of their country, including runaway energy and food prices, should keep in mind the upcoming election isn't just about choosing a new president. We'll also pick a new Congress.

The current Congress, led on the House side by a speaker who promised a "common sense plan" to cut energy prices two years ago, has shown itself to be incompetent and irresponsible. It doesn't deserve re-election.

If Cheney hadn't lied, someone else would have made it up. Probably just a planned mistake to get the idea back on the table. Republican scum will stoop to anything.

well, if the product is THERE, why dont WE make a deal for it, with the NEW REGIME in cuba?

seems like a sensible thing to do, doesnt it?

a great opportuity to begin re-opening relations with one of our most natural friends and allies, which have been cut off for about FIFTY YEARS due to incredible STUPIDITY ON OUR PART.

and at the same time tell the hard-line refugee bozos to stuff it up themselves!

THEY NO LONGER HAVE ANY SIGNIFICANT INPUT INTO AMERICAN FOREIGN POLICY!!

(id hate to have been the poor schmuck on cheneys staff who gave him the wrong informaton...i bet he or she has been beaten senseless by now and shot in the face!!)

((then of course, maybe its because the walking colostemy bag is so used to LYING, it was a natural.

UNFORTUNATELY for that sorry sack, there is contrary documentation!!))

[Osama Been Forgotten]

China drilling off Cuba, WMD's, Plamegate... you pinheads will by anything we tell ya! Hahahahahahaaaaa...

Love,

Bush Administration

Will you all please stand, place your left-hand over your wallets and your right-hand into the taxpayer’s pockets… good, now repeat after me;

“I Pledge Allegiance, to the P&L’s, of the United Corporations of America… and to the bottom line, for which they stand… one low-wage slave Nation, under corporate rule, completely divisible… with no liberty of justice at all… except of course for us.”

You may now take your seats and pull out your deposit slips.

[Dan]

Makes sense to work with the Cubans as part of out energy program. ooooooops we don't have an energy program. ooooops yes we do. it's continue the screw the tax payers as usual. Thanks Dick and George, Luv ya.

[raymond]

Par for the course for this group of idiots. 2:52 your right on the money, he couldn't tell the truth if it was going to save his life. you mean to tell me the second most powerfull person in this country didn't know what china was doing so close the our border? If you beleive that mess then you really do have allot of issues.

[raymond]

Now don’t get me wrong wearing your emotions on your sleeves is ok, and I understand that by doing so environmentalists are showing to the world how in tune they are with mother earth and all that crap. what I don’t understand is how could environmentalists advocate policies that allow huge power companies,and oil companies to have an open door policy on rate hikes. Also being Instrumental in the overall sabotage, progress, and well being of this country. They allow our independence to be compromised, all because environmentalists are such nice people and are so in tune with the world, and what is good for it. If they want to get in tune with the environment. Why don’t they go to a struggling families home that can’t make ends meet. environmentalists are so quick to gripe about any policy when it comes to a butterfly, but damn the humans that are living and dying by the stresses these closed minded idiot environmentalists advocate.

[jim]

congrees is worried about the rights of the people at gitmo, give me a break. they should do something about the food prices gas prices and jobs that are going to outside countrys drill here for gas and oil. what are we saving our oil and gas for. so we can buy ven. oli for the next 100 years we have the product here lets use it the heck with the people that's against drilling in alaska because of the polor bears or some birds that live where the oil is they will be okey

[jason R.]

One should wait until one's term as VP officially ends before starting next job in private sector. Oops.

Everybody loves Raymond and what he has to say.

Is the Democratically controlled Congress going to do anything about these out of control gas prices or not?

My family has already cut back all it can. Unfortunately, we were suckered into moving to PASCO so that we could live in a nice neighborhood with large yards in order for the kids to have a dog and a safe place to play without getting in other peoples way. Of course when we bought the house gas was 1.50 or so a gallon and insurance was $1280 our fist year vs. $3915 now. Our loan company will not let us drop the sink hole coverage so it is pay up or else. Of course everything is going up except for our wages. Actually, my wife just had her hours cut back. Bottom line is we are about $700 a month to the down side vs just a few years ago. We are now burning our savings so the next move is to drop either our mortgage or health insurance. Not a tough call on that one when one of your children has a birth defect that would make it nearly impossible to get private insurance.

I am sick of hearing about what ideal way someone wants to control the climate or habitat for this plant or that animal. What about my family and others like us, what have we done to deserve this treatment by Democrats who promised to do something to help the working class folks?

All I want is for a bit to hit the ground and maybe the President needs to turn the oil loose out of the government reserves so the price will be driven down. Oh and wasn't the Iraq oil suppose to flow back to the American people as payment for freeing their sorry a_ _ _ _. Well, get to squeezing it out of them or leave and put the money into cutting payroll taxes out so we can bring home more pay.

Maybe later I will let you what I think of Gov Crist and his insurance plans. Needless to say I wouldn't give you a plug nickel for him and all his plans while my insurance has gone up triple.

I am sick of both parties. I want an Independent run things for Americans not all their buddies who are foreign most of the time.