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CNN: US Should Increase Oil Imports from Mexico

13 September, 2012

In a recent article CNN discusses the problem of rising gas prices in the US, which are currently being fueled by tensions between the Iranian government and Israel. With prices hitting numbers as high as $4.11 per gallon in recent years, it is easy to see why Americans are hungry for a solution to bring the price of fuel down into a more affordable range. According to the article, prices in the US – particularly on the West Coast – are expected to hit at least $5.00 per gallon by May, which is going to be tough on many families.

So, what can be done about this growing problem? According to CNN, the answer is simple; start tapping into the large amount of oil reserves that exist in North and South America, and relinquish our dependence on oil from the Middle East. The article points out that Mexico’s national oil company already produces 12,000 barrels of oil each day, and has stated that it has the capacity to produce at least 220 million barrels of oil daily from its mature fields. 

In addition,CNN makes a convincing case that it would be much better for both Mexico real estate and the US to work together and solve this pressing issue, instead of relying on oil from countries in the Middle East that are either secretly or openly hostile to Western nations. Sure,Mexico would need to increase production, and tensions still exist between these two countries surrounding issues of immigration and drug cartels. But Mexico’s national oil company has allowed some private contracts in recent years, which indicates that its prohibition on allowing foreign companies to drill could be coming to an end. 

“The US government should increase oil imports from Mexico,” writes the CNN contributor Ruben Navarrette, Jr. “Not only is it better to deal with friends than adversaries, it’s also a good way to help the Mexican government fund its war against the drug cartels.”

Topics: Inversion Alternativa