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Guest Post: The Cover-up: BP's Crude Politics And The Looming Environmental Mega-Disaster

Tyler Durden's picture





 

Submitted by www.oilprice.com

The Cover-up:  BP's Crude Politics and the Looming Environmental Mega-Disaster

We have been informed by sources in the US Army Corps of Engineers, Federal Emergency Management Agency (FEMA), and Florida Department of Environmental Protection that the Obama White House and British Petroleum (BP), which pumped $71,000 into Barack Obama's 2008 presidential campaign -- more than John McCain or Hillary Clinton, are covering up the magnitude of the volcanic-level oil disaster in the Gulf of Mexico and working together to limit BP's liability for damage caused by what can be called a "mega-disaster."

Obama and his senior White House staff, as well as Interior Secretary Ken Salazar, are working with BP's chief executive officer Tony Hayward on legislation that would raise the cap on liability for damage claims from those affected by the oil disaster from $75 million to $10 billion. However, WMR's federal and Gulf state sources are reporting the disaster has the real potential cost of at least $1 trillion. Critics of the deal being worked out between Obama and Hayward point out that $10 billion is a mere drop in the bucket for a trillion dollar disaster but also note that BP, if its assets were nationalized, could fetch almost a trillion dollars for compensation purposes. There is talk in some government circles, including FEMA, of the need to nationalize BP in order to compensate those who will ultimately be affected by the worst oil disaster in the history of the world.

Plans by BP to sink a 4-story containment dome over the oil gushing from a gaping chasm one kilometer below the surface of the Gulf, where the oil rig Deepwater Horizon exploded and killed 11 workers on April 20, and reports that one of the leaks has been contained is pure public relations disinformation designed to avoid panic and demands for greater action by the Obama administration, according to FEMA and Corps of Engineers sources. Sources within these agencies say the White House has been resisting releasing any "damaging information" about the oil disaster. They add that if the ocean oil geyser is not stopped within 90 days, there will be irreversible damage to the marine eco-systems of the Gulf of Mexico, north Atlantic Ocean, and beyond. At best, some Corps of Engineers experts say it could take two years to cement the chasm on the floor of the Gulf.

Only after the magnitude of the disaster became evident did Obama order Homeland Security Secretary Janet Napolitano to declare the oil disaster a "national security issue." Although the Coast Guard and FEMA are part of her department, Napolitano's actual reasoning for invoking national security was to block media coverage of the immensity of the disaster that is unfolding for the Gulf of Mexico and Atlantic Ocean and their coastlines.

From the Corps of Engineers, FEMA, the Environmental Protection Agency, Coast Guard, and Gulf state environmental protection agencies, the message is the same: "we've never dealt with anything like this before."

The Obama administration also conspired with BP to fudge the extent of the oil leak, according to our federal and state sources. After the oil rig exploded and sank, the government stated that 42,000 gallons per day was gushing from the seabed chasm.  Five days later, the federal government upped the leakage to 210,000 gallons a day.

However, WMR has been informed that submersibles that are  monitoring the escaping oil from the Gulf seabed are viewing television pictures of what is a "volcanic-like" eruption of oil. Moreover, when the Army Corps of Engineers first attempted to obtain NASA imagery of the Gulf oil slick -- which is larger than that being reported by the media -- it was turned down. However, National Geographic managed to obtain the satellite imagery shots of the extent of the disaster and posted them on their web site.

There is other satellite imagery being withheld by the Obama administration that shows what lies under the gaping chasm spewing oil at an ever-alarming rate is a cavern estimated to be around the size of Mount Everest. This information has been given an almost national security-level classification to keep it from the public, according to our sources.

The Corps and Engineers and FEMA are quietly critical of the lack of support for quick action after the oil disaster by the Obama White House and the US Coast Guard. Only recently, has the Coast Guard understood the magnitude of the disaster, dispatching nearly 70 vessels to the affected area. WMR has also learned that inspections of off-shore rigs' shut-off valves by the Minerals Management Service during the Bush administration were merely rubber-stamp operations, resulting from criminal collusion between Halliburton and the Interior Department's service, and that the potential for similar disasters exists with the other 30,000 off-shore rigs that use the same shut-off valves.

The impact of the disaster became known to the Corps of Engineers and FEMA even before the White House began to take the magnitude of the impending catastrophe seriously. The first casualty of the disaster is the seafood industy, with not just fishermen, oystermen, crabbers, and shrimpers losing their jobs, but all those involved in the restaurant industry, from truckers to waitresses, facing lay-offs.

The invasion of crude oil into estuaries like the oyster-rich Apalachicola Bay in Florida spell disaster for the seafood industry. However, the biggest threat is to Florida's Everglades, which federal and state experts fear will be turned into a "dead zone" if the oil continues to gush forth from the Gulf chasm. There are also expectations that the oil slick will be caught up in the Gulf stream off the eastern seaboard of the United States, fouling beaches and estuaries like the Chesapeake Bay, and ultimately target the rich fishing grounds of the Grand Banks off Newfoundland.

WMR has also learned that 36 urban areas on the Gulf of Mexico are expecting to be confronted with a major disaster from the oil volcano in the next few days. Although protective water surface boons are being laid to protect such sensitive areas as Alabama's Dauphin Island, the mouth of the Mississippi River, and Florida's Apalachicola Bay, Florida, there is only 16 miles of boons available for the protection of 2,276 miles of tidal shoreline in the state of Florida.

Emergency preparations in dealing with the expanding oil menace are now being made for cities and towns from Corpus Christi, Texas, to Houston, New Orleans, Gulfport, Mobile, Pensacola, Tampa-St.Petersburg-Clearwater, Sarasota-Bradenton, Naples, and Key West. Some 36 FEMA-funded contracts between cities, towns, and counties and emergency workers are due to be invoked within days, if not hours, according to WMR's FEMA sources.

There are plans to evacuate people with respiratory problems, especially those among the retired senior population along the west coast of Florida, before officials begin burning surface oil as it begins to near the coastline.

There is another major threat looming for inland towns and cities. With hurricane season in effect, there is a potential for ocean oil to be picked up by hurricane-driven rains and dropped into fresh water lakes and rivers, far from the ocean, thus adding to the pollution of water supplies and eco-systems.

Source: http://oilprice.com/Environment/Oil-Spills/The-Cover-up-BP-s-Crude-Politics-and-the-Looming-Environmental-Mega-Disaster.html

By. The Wayne Madsen Report for Oilprice.com who offer detailed analysis on Crude Oil, Geopolitics, Gold and most other Commodities. They also provide free political and economic intelligence to help investors gain a greater understanding of world events and the impact they have on certain regions and sectors. Visit: http://www.oilprice.com

 


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Thu, 05/06/2010 - 14:28 | Link to Comment cbaba
cbaba's picture

thanks Tyler, excellent article

Thu, 05/06/2010 - 14:58 | Link to Comment merehuman
merehuman's picture

Cavern, size of Mt. Everest under the seabed. So is the 3.2 @ Sardis LA  earthquake a foreshadow of whats to come? On another post i was suggesting the possibility of this and was called a fool. I dont look so foolish now.

If my vision is correct there will be a cavein  in the gulf. Ocean water will rush in to fill the lower water level. It will end up with a hell of a tsunamy.

After that , who knows but one thing is for sure, the earth will react.

There is still time to get out of harms way. This will undoubtedly affect other rigs, most wiil also tip, break etc should my scenario come true.

A lot of us will die because of this.

Ok , junk me and i will become a fiction writer.

Thu, 05/06/2010 - 17:11 | Link to Comment sondog
sondog's picture

Please don't become a writer until you learn to spell.

Thu, 05/06/2010 - 18:08 | Link to Comment Ripped Chunk
Ripped Chunk's picture

sondog, doesn't this get tiresome for you?

Thu, 05/06/2010 - 19:54 | Link to Comment Village Idiot
Village Idiot's picture
These two jokers have a bigger problem than spelling - although ignorance and spelling do go hand in hand.  Isn't the Internet (email) a bitch, guys?  Just ask Fab. by merehuman
on Sun, 05/02/2010 - 18:38
#328493

 

cbaba, you got junked twice already just for mentioning JEWS.

Jews. JEWS JEWS jews and more JEWS.

OK  now junk me to too you ignorant fuck.  The truth is what it is.


by cbaba
on Sun, 05/02/2010 - 19:03
#328527

call the megaphone and add more junks,i dont care, it doesnt change the truth ignorant fuck and douche with your mother bag VI.

 


by merehuman
on Sun, 05/02/2010 - 19:16
#328556

less than 5 minutes since i used the miracle word JEW. I already have one junk. Thank you. It feels good to be noticed.

BTW chaba.  It wasnt I that junked you. Anytime i point out how the seats of power in our government is predominantly jewish i get a lot of junks. The truth is what it is.

If all those Jews wore armbands, we would see how they control our society. Perhaps thats why Hitler had them wearing armbands. And yes, truhout the course of my long life i have met, done business with and loved many Jewish people along the way. I do not hate or even dislike Jews. They are people like all others. Still, the fact remains that they hold many powerful seats.

If all those same seats were held by, say Chinese, there would be a hell of an outcry ? would there not?

 


 

 

Thu, 05/06/2010 - 22:01 | Link to Comment merehuman
merehuman's picture

village idiot , you have succeeded in stopping any further posts from me.

Its pointless anyway and i have better things to do. You actually did me a favor.

Thu, 05/06/2010 - 22:07 | Link to Comment Village Idiot
Village Idiot's picture

Reincarnate.  And next time - hold it with the stuff that has no place on ZH (or, anywhere for that matter).  Godspeed.

Thu, 05/06/2010 - 17:17 | Link to Comment cossack55
cossack55's picture

Do you mean you will write for CNBS, BP, and the POTUS?

Thu, 05/06/2010 - 17:23 | Link to Comment velobabe
velobabe's picture

that image just takes my breath away.

this is the scariest, to me, than any stock market crashing 1000pts.

we know it will be saved, over and above this planet and it's beings.

saddest day for the earth, so far.

Thu, 05/06/2010 - 17:58 | Link to Comment Ragnarok
Ragnarok's picture

That's not how it works, oil is trapped inside the porosity of reservoir rocks, little droplets about the size of a pinhead.

 

I believe the reservoir is around 18000ft deep so any deformation of the rocks will be fairly slow and plastic like play-dough as the fluid drain slowly over time.  It will not be instantaneous jagged faulting causing a tsunami.

Thu, 05/06/2010 - 18:12 | Link to Comment dark pools of soros
dark pools of soros's picture

it will be worse..  it will disturb Cthulhu and he will rise before his normal feeding cycle..  which will make him grumpy

Thu, 05/06/2010 - 18:29 | Link to Comment Harbourcity
Harbourcity's picture

I though Cthulhu was the leader of the Bilderberg group?

 

Thu, 05/06/2010 - 19:40 | Link to Comment DFCtomm
DFCtomm's picture

That too.

Ph'nglui mglw'nafh Cthulhu R'lyeh wgah'nagl fhtagn

 

Thu, 05/06/2010 - 18:41 | Link to Comment SylphGlitch
SylphGlitch's picture

So R'lyeh is now in the Gulf Coast?

After watching the Dow drop 1000 pts because of one HFT transaction I'll believe it....

Thu, 05/06/2010 - 19:51 | Link to Comment Ragnarok
Ragnarok's picture

LOL...

 

Some people are still grappling with the fact that the earth is round, let alone its 4.5 -4.9 billion year history, basic structure, basic geology and the theory of plate tectonics which governs the crust.  I think it was somewhere in middle school science class.

 

The world would be a better place if everyone just watched the original "how the earth was made" on the history channel. At least then we could try to build their undrstanding from some concept of reality.

 

http://www.amazon.com/How-Earth-Made-History-Channel/dp/B00126808K

 

And some basic info on iceland:

http://www.history.com/shows/how-the-earth-was-made/videos/playlists/full-episodes#how-the-earth-was-made-iceland

Thu, 05/06/2010 - 19:45 | Link to Comment kengland
kengland's picture

Why does this suprise you TD and readers. LMAO. Am I not reading ZH? You mean to tell me you just woke up to the fact that both repubs and dems are bought and paid for many times over by the same groups? I thought you understood that.

 

Thu, 05/06/2010 - 14:30 | Link to Comment Fraud-Esq
Fraud-Esq's picture

waz wondering when someone would say "nationalization". It's one sure way to pay for some stuff but hard to do without an excellent reason...

Thu, 05/06/2010 - 14:32 | Link to Comment What_Me_Worry
What_Me_Worry's picture

...and the lawyers rejoice in their new found printing press.

Thu, 05/06/2010 - 14:33 | Link to Comment bullwinkle
bullwinkle's picture

$71,000 dollar contribution.  Yeah that sounds like a good reason for Obama to be siding with BP on this mess.

I mean that should at least cover his dry cleaning bill for the year. 

Thu, 05/06/2010 - 14:39 | Link to Comment Assetman
Assetman's picture

It's amazing how cheaply politicians can be bought.

It might be the best $71k BP has ever spent.

Thu, 05/06/2010 - 14:43 | Link to Comment docj
docj's picture

Spot-on, Assetman.  Frankly that's what has always amazed me about politics - not how much money is spent on elections (about what the US spends advertising chewing gum or popcorn, if I recall the numbers correctly), but how little it takes to get the attention of these folks.

Send a $100 donation to your State Senator and see what I mean.

Thu, 05/06/2010 - 17:26 | Link to Comment lesterbegood
lesterbegood's picture

Invest in a senator? Best investment on the planet! 1000% return on investment!

Thu, 05/06/2010 - 19:24 | Link to Comment Thunder44
Thunder44's picture

All this oil gushing out of the bottom of the ocean,where's the coverage how much damage,how much has hit land.

Thu, 05/06/2010 - 17:16 | Link to Comment DaveyJones
DaveyJones's picture

other prostitutes work for much less, some for just a hit

Thu, 05/06/2010 - 17:30 | Link to Comment Gold...Bitches
Gold...Bitches's picture

And they at least have the courtesy that if they are going to screw you in the ass at least they'll give you a reach around.

Thu, 05/06/2010 - 17:33 | Link to Comment Ripped Chunk
Ripped Chunk's picture

That has to be why the bankers and "corporate captains" must laugh and laugh until they piss themselves. How cheap these stupid imbeciles can be bought for. No knowledge of the real world at all. But they get elected.

Thu, 05/06/2010 - 17:58 | Link to Comment anony
anony's picture

How stupid can they be to get lifetime salaries twice as good as the private sector, benefits to make an Emir blush, pensions for relatively few years service AND if you think all they get is some campaigin contributions I'd point out that Clinton got $10,000,000 just from Norway for what the fuck?

You grossly misunderestimate the goodies that career politicians manage to have bestowed on them and without an IRS audit, (ever hear of a career politician being investigated by the IRS?) you will never know how wealthy they are but a glimpse of their lifestyle, close up, yet to be vetted by an investigative journalist, would shock you.

They're laughing all right, but only because their $10,000,000 investment likely returned to them at a thousand fold.   

Thu, 05/06/2010 - 18:11 | Link to Comment Ripped Chunk
Ripped Chunk's picture

So how long have you been retired from Congress for?

I guess according to your description, carreer politicians need to become extinct.

 

Thu, 05/06/2010 - 18:39 | Link to Comment cossack55
cossack55's picture

I'll second that motion. We will need more fossil fuels soon.

Thu, 05/06/2010 - 18:17 | Link to Comment Cindy_Dies_In_T...
Cindy_Dies_In_The_End's picture

Yeah, I donned my tinfoil head gear after I read that. Obama would blow his nose on 71K.

 

Geez, should't we be screening more of this stuff?

Thu, 05/06/2010 - 18:17 | Link to Comment Cindy_Dies_In_T...
Cindy_Dies_In_The_End's picture

Yeah, I donned my tinfoil head gear after I read that. Obama would blow his nose on 71K.

 

Geez, should't we be screening more of this stuff?

Thu, 05/06/2010 - 19:41 | Link to Comment Sigma X
Sigma X's picture

While the 71k might not be reason, a president who recently opened up the Gulf to additional drilling might have his own motivation for wanting this disaster to seem like something less....

Thu, 05/06/2010 - 14:34 | Link to Comment AnAnonymous
AnAnonymous's picture

Too bad that Obama guy was not elected before.

I always had the feeling that an elected black guy would be allowed to get away with less than your casual white yankee-dankee/hillbilly Joe.

Feeling confirmed.

Covering up for an oil corporation after an oil spill... What a surprise.

Some areas of the world had to fight 20 years or more to get compensated after an oil spill, including cases US oil companies were involved.

Thu, 05/06/2010 - 14:36 | Link to Comment carbonmutant
carbonmutant's picture

Obama biggest recipient of BP cash

While the BP oil geyser pumps millions of gallons of petroleum into the Gulf of Mexico, President Barack Obama and members of Congress may have to answer for the millions in campaign contributions they’ve taken from the oil and gas giant over the years.

BP and its employees have given more than $3.5 million to federal candidates over the past 20 years, with the largest chunk of their money going to Obama, according to the Center for Responsive Politics. Donations come from a mix of employees and the company’s political action committees — $2.89 million flowed to campaigns from BP-related PACs and about $638,000 came from individuals.

http://www.politico.com/news/stories/0510/36783.html

 

Thu, 05/06/2010 - 14:37 | Link to Comment Nordberg
Nordberg's picture

Holy Fuck

Thu, 05/06/2010 - 14:37 | Link to Comment exportbank
exportbank's picture

This is a slow-motion wreck - the loop current that comes up between the Yucatan and Cuba will in about a week - start to move the oil into the Gulf Stream. The only piece of decent luck is that summer is bearing down on us so we'll get some evaporation of the oil but in potential devastation (financial impact) this is on par with public sector pensions.

Thu, 05/06/2010 - 14:38 | Link to Comment Sudden Debt
Sudden Debt's picture

THAT'S IT!

I'm putting all my funds in shorting BP!

Great article!

Thu, 05/06/2010 - 17:47 | Link to Comment ZerOhead
ZerOhead's picture

I wouldn't be doing that if I were you...

First of all... anyone with even the slightest passing familiarity with 'soft rock' geology will tell you that a cavern the size of Everest underneath the Gulf is sheer nonsense.

There is indeed a porous reservior rock (usually sandstone or limestone) that contains the oil capped by a non-porous formation above to be sure... but the degree of porousity is in the very low percentages... like 1% or 2% here... so cave-ins are almost impossible.

Nothing will collapse my friends... but any... and I mean any increase in the rate of flow is very bad news indeed... but reports are that the BOP worked with some minor leaks around the seals... which at these pressures is already giving us 5,000 or so bbls/day of leakage.

If the casing fails and the oil emerges outside same however... we are talking a whole different ball game.

Thu, 05/06/2010 - 17:57 | Link to Comment Hulk
Hulk's picture

Latest Gulf Pic:

http://moralauthority.files.wordpress.com/2008/04/biggest-hole.jpg

Note Atlantis in the background...

Thu, 05/06/2010 - 18:13 | Link to Comment divide_by_zero
divide_by_zero's picture

Some good info here, and of course in UK newspapers, MSM not so much.

http://alaskapride.blogspot.com/2010/05/oil-expected-to-gush-from-deepwater.html

Sounds like the BOP was way undermatched for this reservoir, 5000 psi limit but estimate of gas kick in the 60,000 psi range. Saw one estimate that the pocket encompasses a 25,000 square mile area. One petroleum engineer said it was so big that rather than being worried about the world running out of oil he was "more worried about running out of air to burn" (still trying to find that one again). They are also apparently worried about the mud etc coming up from the reservoir abrading the casing to failure. 

Thu, 05/06/2010 - 18:24 | Link to Comment ZerOhead
ZerOhead's picture

If the BOP had failed and was 'open' the velocity of oil in the pipe at least initially would be insane. That and fragments of the reservoir rock would indeed abrade the remaining pipe/casing. But without the high flow required that is jusy NOT going to happen. All the pressure... and thus low flow rates... remain below the BOP. If the BOP goes or the oil finds it's way around the casing at those pressures? Then you have an epic disaster in the making.

Fri, 05/07/2010 - 04:19 | Link to Comment Broken_Trades
Broken_Trades's picture

First of all... anyone with even the slightest passing familiarity with 'soft rock' geology will tell you that a cavern the size of Everest underneath the Gulf is sheer nonsense.

 

Thanks for finally posting some common sense.  I can't believe some of the sensational crap I'm reading here on ZH about the sea floor collapsing, and massive underground caverns.  Obviously whomever is writing this crap has zero knowledge of how oil and gas reservoirs.  Oil and gas is trapped inside the pore spaces of reservoir rock.  Once the oil and gas is gone, what do you think happens to the reservoir rock? 

Think about it dumbasses:  Weve been drilling for hundreds of years all over the world and the sea floor or ground hasnt collapsed anywhere else.  lol

 

 

Tyler - Stop posting up sensational crap.  Some of these oil commentaries are pure BS and it's detracting from the credibility of this site.

 

 

 

Fri, 05/07/2010 - 07:18 | Link to Comment WaterWings
WaterWings's picture

What a paradox. If it hadn't been posted this comment section would never have existed - and I have learned much from it.

Thu, 05/06/2010 - 14:42 | Link to Comment RichardENixon
RichardENixon's picture

"There is other satellite imagery being withheld by the Obama administration that shows what lies under the gaping chasm spewing oil at an ever-alarming rate is a cavern estimated to be around the size of Mount Everest. This information has been given an almost national security-level classification to keep it from the public, according to our sources."  How is it possible to see this from a satellite? I'm in New Orleans and if things are as bad as this article says I guess I better pack up the kids and scram. My house was filled with 11 feet of toxic water by Katrina and I don't need another hurricane raining crude oil down on my head while oil-soaked water rises up to my neck. That would be a little more than even I would be willing to go through. 

Thu, 05/06/2010 - 17:23 | Link to Comment cossack55
cossack55's picture

I would think the resultant tsunami would be a little more worriesome.

Thu, 05/06/2010 - 18:17 | Link to Comment dark pools of soros
dark pools of soros's picture

that slick water will make it awesome to skim board in...  

Thu, 05/06/2010 - 20:30 | Link to Comment Clancy
Clancy's picture

As someone who has been through at least one oil hurricaine let me tell you you definitely gotta be careful of open flames.

Fri, 05/07/2010 - 07:21 | Link to Comment WaterWings
WaterWings's picture

Better tell my friends down south to quit smoking before August.

Thu, 05/06/2010 - 14:44 | Link to Comment Mako
Mako's picture

Sounds like the way Russians do business or in Dubai.

Thu, 05/06/2010 - 14:44 | Link to Comment NERVEAGENTVX
NERVEAGENTVX's picture

doesn's surprise me in the slightest. After all isn't the first and foremost duty of the U.S. government to protect the good name of major corporations. Even if that means engaging in cover-ups, mis information, and media blackouts by claiming "national security"?   And the MSM plays right along. Jesus christ whatever happened to the free press or independant investigative journalism?

Thu, 05/06/2010 - 17:20 | Link to Comment DaveyJones
DaveyJones's picture

free press is inversely related to the number of corporations left controlling the outlets.  

Thu, 05/06/2010 - 19:07 | Link to Comment Duuude
Duuude's picture

5 or 6 Corporations own them all, Corps are big business.

Thu, 05/06/2010 - 14:50 | Link to Comment RockyRacoon
RockyRacoon's picture

Oh, like the Bush Administration would not have done the same thing?  ...assuming cover-up is true.   $70,000 is order-out pizza for a rough-necking crew. On the other hand, if this oil gusher is as massive as described, would there have been any way to contain the pricking of an oil balloon like that?  I'm no apologist, don't get me wrong.  This well was the wrong thing in the wrong place.  No man-made equipment could have contained the tapping of this leviathan.  More will obviously be revealed and I'd rather wait a while before making any accusations of liability... or ability.

Thu, 05/06/2010 - 18:18 | Link to Comment Cognitive Dissonance
Cognitive Dissonance's picture

"$70,000 is order-out pizza for a rough-necking crew."

Is that with or without bread sticks and garlic butter? :>)

Thu, 05/06/2010 - 14:47 | Link to Comment Crab Cake
Crab Cake's picture

As bad as this spill is, and will be, and it ain't no small potatoes.  I think the concept of what is a Mega Disaster will be changing over the course of the next 10-20 years.  I think this oil spill will be a nice spring day disaster, compared to what is coming down the pike. 

Thu, 05/06/2010 - 14:47 | Link to Comment Henry Chinaski
Henry Chinaski's picture

black swan

Thu, 05/06/2010 - 18:18 | Link to Comment dark pools of soros
dark pools of soros's picture

triple layered

Thu, 05/06/2010 - 18:25 | Link to Comment Rusty Shorts
Rusty Shorts's picture

 - a whole flock of Black Swans.

Thu, 05/06/2010 - 18:34 | Link to Comment Windemup
Windemup's picture

Four and Twenty Black Swans baked in a pie.

Thu, 05/06/2010 - 14:48 | Link to Comment MsCreant
MsCreant's picture

STOCK MARKET CRASHING!!!

Thu, 05/06/2010 - 14:51 | Link to Comment docj
docj's picture

WTF just happened there?  It's like somebody just threw a switch.

PPT to the rescue

Thu, 05/06/2010 - 14:48 | Link to Comment Eduardo
Eduardo's picture

stock market is busted

Thu, 05/06/2010 - 14:50 | Link to Comment Hansel
Hansel's picture

WOW!

Thu, 05/06/2010 - 14:53 | Link to Comment Crab Cake
Crab Cake's picture

Holy shit!  I just checked back on the DOW, and it is cratering. 

It's like some kid just spewed peaches in the public pool.  There's not a thread, but I've got to say something somewhere. 

It's here! 

-720.... Wow. 

I feel giddy.  Black Thursday.

(edit)

Wow. Again.  -987

Gird your loins.  We're going downtown.

Thu, 05/06/2010 - 14:50 | Link to Comment SDRII
SDRII's picture

someone stepped in...

Thu, 05/06/2010 - 15:01 | Link to Comment Whizbang
Whizbang's picture

how was there zero volume for that bounce. I mean, literally 0 volume?!

Thu, 05/06/2010 - 15:02 | Link to Comment docj
docj's picture

And just like that, it's all back, and then some.  Like it never happened.

Someone called "Crime Scene Cleaners".

Nothing to see here, folks.  Move along.

Thu, 05/06/2010 - 21:04 | Link to Comment Betty Swallsack
Betty Swallsack's picture

Ahh, the CSC.  Same as the PPT.

Thu, 05/06/2010 - 14:52 | Link to Comment SDRII
SDRII's picture

cramer says the machines failed...lol (what an idiot)

Thu, 05/06/2010 - 18:20 | Link to Comment dark pools of soros
dark pools of soros's picture

looks like the algo's blowout preventer worked better than BP's

Fri, 05/07/2010 - 03:03 | Link to Comment OBRon
OBRon's picture

Anything cramer says is an oxymoron.

Thu, 05/06/2010 - 14:53 | Link to Comment kote
kote's picture

A US agency suggests nationalizing... British Petroleum?

Sure, why not.

Thu, 05/06/2010 - 15:03 | Link to Comment RockyRacoon
RockyRacoon's picture

BP has not paid corporate taxes in how long? Hell, we own 'em anyhow.

Thu, 05/06/2010 - 19:03 | Link to Comment Heroic Couplet
Heroic Couplet's picture

I read last time was 1998. Sounds reasonable. How many oil companies paid US corporate taxes during 2000-2008?

Thu, 05/06/2010 - 19:09 | Link to Comment Duuude
Duuude's picture

I think I read that less than 30% of all corporations paid ANY taxes last year.

Thu, 05/06/2010 - 20:56 | Link to Comment Heroic Couplet
Heroic Couplet's picture

Have also read, don't know how true it is, that BP is owned by the Rothschilds, that is the same Rothschilds first family of the private bank cartel AKA the Federal Reserve. How many ways can one family own the US?

Thu, 05/06/2010 - 20:56 | Link to Comment Heroic Couplet
Heroic Couplet's picture

Have also read, don't know how true it is, that BP is owned by the Rothschilds, that is the same Rothschilds first family of the private bank cartel AKA the Federal Reserve. How many ways can one family own the US?

Thu, 05/06/2010 - 21:20 | Link to Comment Betty Swallsack
Betty Swallsack's picture

I'm thinking that the bigger concern should be surrounding the billions in subsidies.

Thu, 05/06/2010 - 18:00 | Link to Comment Amish Hacker
Amish Hacker's picture

BP is trying to get their liability capped at $10B, 1% of the trillion dollars this disaster could easily cost. But if BP were nationalized, its value would be about, hmmm, about a trillion dollars. Just sayin'.

Thu, 05/06/2010 - 17:17 | Link to Comment Mefistofeles
Mefistofeles's picture

Although I'm certainly not a fan of Obama's I think his silence on the matter is related more to his plans to expand offshore drilling versus any contributions on BP's part per see. I think Obama is smart enough to realize that off shore drilling is a neccesity and not a luxury. Our whole economy depends upon cheap petroleum,most of the people where I live would be destitute without the ability to make their 30-40 mile commutes.

I agree this spill is a catastrophe, but not having the oil would be far worse

Thu, 05/06/2010 - 17:22 | Link to Comment WineSorbet
WineSorbet's picture

And not having life in the ocean would be far worse than not having oil.

Thu, 05/06/2010 - 17:29 | Link to Comment lesterbegood
lesterbegood's picture

If the ocean dies, we all die.

Thu, 05/06/2010 - 18:22 | Link to Comment dark pools of soros
dark pools of soros's picture

you forget that TPTB are not human.. they do not share your pitiful human concerns

Thu, 05/06/2010 - 19:33 | Link to Comment Henry Chinaski
Henry Chinaski's picture

The oceans will be here long after we are an insignificant forgotten history.  In the meantime, try going a week with out oil.

Thu, 05/06/2010 - 17:27 | Link to Comment GFORCE
GFORCE's picture

Please don't turn this site into infowars.

So, Obama is involved in a big cover up because of $71,00?? Go find a new hobby.

Thu, 05/06/2010 - 17:27 | Link to Comment GFORCE
GFORCE's picture

Please don't turn this site into infowars.

So, Obama is involved in a big cover up because of $71,000?? Go find a new hobby.

Thu, 05/06/2010 - 18:32 | Link to Comment bullwinkle
bullwinkle's picture

Yeah no kidding.  I mean, we don't want to piss off our reptilian overlords.

They might pull Dancing with the Stars off the air.  Then you would see some heavy shit come down.  Or up.

Thu, 05/06/2010 - 18:37 | Link to Comment Gordon_Gekko
Gordon_Gekko's picture

I don't think its just about Obozo - its about the whole culture of corruption and cover-ups that permeates every inch of our government.

Thu, 05/06/2010 - 19:06 | Link to Comment MsCreant
MsCreant's picture

This sounds like a simple observation when in fact it is profound.

I brought back the fem fatal for you Gordon, at least a little while.

Thu, 05/06/2010 - 19:17 | Link to Comment Sisyphus
Sisyphus's picture

Thanks for coming back, MsCreant.

Thu, 05/06/2010 - 17:31 | Link to Comment markar
markar's picture

Kinda explains why Halliburton left the US--and Bush bought a ranch in Paraguay.

Thu, 05/06/2010 - 17:31 | Link to Comment kwvrad
kwvrad's picture

Now thats one SLICK MOVE !! ARRRGGGHH

Thu, 05/06/2010 - 17:31 | Link to Comment markar
markar's picture

Kinda explains why Halliburton left the US--and Bush bought a ranch in Paraguay.

Thu, 05/06/2010 - 17:33 | Link to Comment jedwards
jedwards's picture

You guys seriously need to do something about your servers.  You were unavailable for what seemed like an eternity.  And news on moving to a new provider that won't crash on you when interest spikes (or when the markets crash 1000 pts in a few minutes)?

Thu, 05/06/2010 - 17:52 | Link to Comment cossack55
cossack55's picture

Its going to be an eternity with the new FCC ruling.  Can you do the Morse Code thing?

Thu, 05/06/2010 - 18:14 | Link to Comment MsCreant
MsCreant's picture

I assume you donate to Zero hedge to help them pay for the servers you request.

I was able to know a tiny bit by following twitter. You don't need to be a member to do a search. If they had to relocate, they could announce the site address there and we could regroup.

Just random thoughts. 

Thu, 05/06/2010 - 18:20 | Link to Comment jedwards
jedwards's picture

Yep, bought their "Zero Intelligence t-shirt" for 30 euros or whatever it was, and considered it a donation.

Since I have no further information as to their economic state,  I can only assume they make more than enough from ads and web traffic.

Thu, 05/06/2010 - 18:24 | Link to Comment dark pools of soros
dark pools of soros's picture

click thru and become a paying member of Cougar Life and it'll be a win-win!!

Thu, 05/06/2010 - 18:47 | Link to Comment Howard_Beale
Howard_Beale's picture

I'm doing a fundraiser for ZH (and approved by Tyler) at www.zazzle.com/Howard_Beale

Check it out for all kinds of great stuff.

 

Thu, 05/06/2010 - 19:04 | Link to Comment jedwards
jedwards's picture

I clicked on it hoping to bid for Marla's used panties, but was sorely disappointed.

Thu, 05/06/2010 - 19:35 | Link to Comment Howard_Beale
Howard_Beale's picture

Hey, Larry Summers and Timothy Geither in Drag are pretty fun on the summer drive mug:

http://www.zazzle.com/a_summer_drive_mug-168158682668250113

Just click on the left and center views.

Thu, 05/06/2010 - 18:35 | Link to Comment velobabe
velobabe's picture

o/t i was wondering if you were affected by the flooding in tennessee?

Thu, 05/06/2010 - 19:11 | Link to Comment MsCreant
MsCreant's picture

Not very badly at all, personally. But my county has been declared a disaster area. Mostly stayed up two nights in a row with sirens going on and off all night. Had bugout bag and essentials ready to go, slept in shoes, all that stuff. Bad weekend, but not nearly as bad as others nearby.

Thanks for asking Velolicious.

Fri, 05/07/2010 - 07:26 | Link to Comment WaterWings
WaterWings's picture

Slept in shoes. "'Man, she's hardcore!"

U rok.

Thu, 05/06/2010 - 18:41 | Link to Comment aheady
aheady's picture

Same here.

Thu, 05/06/2010 - 18:17 | Link to Comment Amish Hacker
Amish Hacker's picture

The fix for slowness is more bandwidth and more server capacity, both of which cost money. There is a link on the ZH homepage for donations, though Tyler & Co. are so low- key about it that you have to hunt for the button. Voluntary, indeed, enthusiastic donations are what will set ZH apart and make it a true community, not just another financial blog. Yes, I currently wear the halo of one who has donated, but judging from today's backups, obviously not enough. :-)

Thu, 05/06/2010 - 17:33 | Link to Comment syvanen
syvanen's picture

"by the worst oil disaster in the history of the world."

 

Not by a long shot.  Look at the Ixtoc spill from the 1980's -- that released about 200 times as much oil.  This one has the potential to be that bad, but it will take some time.

Thu, 05/06/2010 - 17:49 | Link to Comment Common_Cents22
Common_Cents22's picture

How credible is oilprice.com and WMR Wayne Madsen Report?

Thu, 05/06/2010 - 19:00 | Link to Comment TheGoodDoctor
TheGoodDoctor's picture

WMR is credible. He knows his shit. I think he is former CIA.

Thu, 05/06/2010 - 19:54 | Link to Comment syvanen
syvanen's picture

CIA analysts are some very clear thinking people, CIA operations not so much. This post is not credible on it own merits.  Exaggeration and hyperbole, yes, clear analysis, no.

 

Thu, 05/06/2010 - 17:57 | Link to Comment rawsienna
rawsienna's picture

And the libs say Bush was in bed with big oil!!!

Thu, 05/06/2010 - 18:03 | Link to Comment Fraud-Esq
Fraud-Esq's picture

Black swan event at ZH or did everyone put their gold in the backseat and leave?

Thu, 05/06/2010 - 18:10 | Link to Comment derp
derp's picture

The site is back up w/ no new posts? Something must have crashed at ZH headquarters. Odd timing indeed. 

Thu, 05/06/2010 - 18:08 | Link to Comment Marley
Marley's picture

Ha ha ha ha ha ha ha ha ha ha ha choke, cough, ha ha ha ha ha ha ha ha ha, ........... ha ha.  Good one. ;).   Nationalize BP.... whew.  Ha ha ha ha ha ha ha ha ha ha ha ha ha ha..... "it wasn't us!  It was Haliburton, we had contractors!  ..... ha ha ha ha ha ha ha ha ha.. ha.  Thanks, I needed that.  Hee hee.

Thu, 05/06/2010 - 18:11 | Link to Comment fluorideintapwa...
fluorideintapwaterisbadforyou's picture

THERE WILL BE PLENTY OF  DEEP DISCOUNT OCEAN FRONT

PROPERTY , 

SERIOUSLY , THIS  IS GOING TO BE A GAME CHANGER

IF THIS IS NOT CONTAINED REAL REAL SOON,

This will trash the Gulf for 20 years ......

Thu, 05/06/2010 - 18:12 | Link to Comment Instant Karma
Instant Karma's picture

Shit. This is one scary oil volcano. Superman could close the valve.

Thu, 05/06/2010 - 18:39 | Link to Comment Windemup
Windemup's picture

BP needs to stop fiddling with the problem and turn it over to the navy. They could drop a small nuke on the hole and shut it pretty damn quick. The longer they wait, the worse it gets for all of us.

 

 

Fri, 05/07/2010 - 07:35 | Link to Comment WaterWings
WaterWings's picture

F yeah! Get Sup' to grab Everest and shove it down there. Just like in Superman IV:

http://www.i-mockery.com/minimocks/superman-iv-quest-for-peace/13.gif

 

Thu, 05/06/2010 - 18:13 | Link to Comment fluorideintapwa...
fluorideintapwaterisbadforyou's picture

I have relatives who live 20 plus miles from the coast

and the smell from  the oil/various gases  is  absolutely

overwhelming

 

Thu, 05/06/2010 - 18:33 | Link to Comment Gordon_Gekko
Gordon_Gekko's picture

I'd probably get the hell out of there if I were them.

Thu, 05/06/2010 - 18:14 | Link to Comment masterinchancery
masterinchancery's picture

Highly alarmist and probably false given the level of knowledge at this point and the fact that the Exxon Valdez didn't do any permanent damage at all.  Nationalize BP?--Insanity unless the US has suddenly turned into Venezuela.

Thu, 05/06/2010 - 18:32 | Link to Comment Fraud-Esq
Fraud-Esq's picture

Well, we suddenly turned into SOMETHING in the past two years. I'd call that massively in debt living off currency printing. You have any ideas? We could have taken these big 6 profits for two years in return for saving their business. Good deal. But....we didn't. We could have asked for 10% off the top in Iraq, but.....we didn't.

 

Don't you get it yet. Even Buffett gets a better deal with Goldman that we did. Getting it is pretty obvious. "They" are not negotiating on our behalf. They're stripping the golden goose for short term mighty profits. Just like Lloyd stripped Golman's reputation. Just like Greenspan stripped the Fed's reputation. They won't understand until it's too late because they're pirates and that's just the way it is. 

Thu, 05/06/2010 - 19:22 | Link to Comment cougar_w
cougar_w's picture

I worked with the lead researcher who worked on the Prince William Sound cleanup. He said Exxon put 500 lawyers around his neck and he could get zero accomplished. But it worked for them; nobody knows what happened up in lonely Alaska.

The only thing that saved PWS was the fact that it is mostly rock and freezing. It's Alaska, for f'cks sake.

Isn't going to play that way in the GoM. The only reason there won't be a 30 year $1T cleanup will be because everything will be fucking dead. You can't clean up a dead wetlands. Haul it away, bury it in a landfill outside Jersey, and wait for nature to come back in 500 years.

Corporations suck.

Thu, 05/06/2010 - 19:42 | Link to Comment velobabe
velobabe's picture

two words : corporations suck.

now they are protected.

how does it get away so fast, lately?

GONE

Thu, 05/06/2010 - 20:10 | Link to Comment Common_Cents22
Common_Cents22's picture

NIMBY and our big government sucks.

Do you think BP or anyone else WANTS to drill in mile deep water?  It is expensive and risky!    NIMBY(not in my back yard) and big government ropes off land and shallow water areas for safer drilling.   Much safer and if something goes wrong much easier to remedy.  But no, you big evil oil companies must drill in super deep water, but if you screw up it is all your fault.

Thu, 05/06/2010 - 21:12 | Link to Comment Fraud-Esq
Fraud-Esq's picture

agreed. You know what's worse...Democrats trotting out today with smiles about RAISING the limit on liability. I look at people straight in the eye and say, "why are you limiting their liability at all"? They get confused, as if it's something good to "raise a liability limit". How would you like it if I had limits on MY liability (and I knew it) while driving though your kids schoolyard at 60MPH. What the fuck happened to people in this country. Did they get confused with what the Founders meant when they said unfettered right to a jury? Greenspan distorted the value of money. Fed judges and politicians distort the value of justice/jury. You give me those two things back, you've got your whole country back. It's all you really need. Juries would massacre the banks if they could hear the story. In most cases, they're protected by federal legislation, which brings me to the GOP and their hypocricy on states rights. Spitzer was on this case, until Bush federalized justice (non). Shit...i got myself started again. 

Thu, 05/06/2010 - 18:16 | Link to Comment kaiten
kaiten's picture

All right, so what will this oil-volcano and the coming middle-eastern war do with the oil price?

Thu, 05/06/2010 - 18:31 | Link to Comment Gordon_Gekko
Gordon_Gekko's picture

Well, let's just say the oil price will be the least of your worries in the near future.

Thu, 05/06/2010 - 19:24 | Link to Comment cougar_w
cougar_w's picture

How do you price something you cannot get at any price?

Thu, 05/06/2010 - 19:56 | Link to Comment Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Is this a trick question?

Thu, 05/06/2010 - 18:21 | Link to Comment Caviar Emptor
Caviar Emptor's picture

This administration is evolving in the direction of command and control. Just like at the height of The Cold War (for those who remember). Once upon a time large corporations could "arrange" a coup d'etat in a foreign sovereign nation using US Government assets. ITT in Chile, bribing the Nixon Administration with "campaign donations" to bring down Allende is just 1 example. Spying on and repressing private citizens. False military intelligence reports to perpetuate a war (now 2).

They're not expecting that US citizens have any sort of resolve or backbone. But they're wrong. The anger level after the financial crisis and bailouts is intense and widespread, affecting many people and cutting across traditional demographics. Class warfare is breaking out all over: Thailand, Greece. Europe is a powder keg even in the Anglo countries and yes even Germany. There is evidence of a broad conspiratorial club of powerful interests AKA The Banksters and their political sycophants. The crisis brought to light not only the crime but the lack of political will to prosecute those crimes let alone redress the imbalances. In other words Taxes and now even Laws are just for little people. A certain  class is exempted. The stage is set for all out class warfare. Happy 21st Century.

Thu, 05/06/2010 - 18:44 | Link to Comment Fraud-Esq
Fraud-Esq's picture

Godfather II Cuban roundtable, good scene. 

Thu, 05/06/2010 - 23:11 | Link to Comment Oh regional Indian
Oh regional Indian's picture

CE,

Anger or not, unfortunately, backbones (individual or collective) cannot be built in a day.

Doesn't take much bone of any sort to pull a trigger though.

I'm afraid the US has been softened, all mushy.

And scared angry is just not the same as righteously indignant.

RI is fearsome/awesome, Scared angry just does stupid things, like pull triggers.

Thu, 05/06/2010 - 18:24 | Link to Comment fluorideintapwa...
fluorideintapwaterisbadforyou's picture

   THANKS  BP FOR JUST  PISSING  ON US

Thu, 05/06/2010 - 18:29 | Link to Comment Dapper Dan
Dapper Dan's picture

I noticed over 2 days ago that there were no satellite photos of the gulf, even  my weather blog "Weather Underground" had no posts, and there also was an anomaly on the Nexrad radar sites in the southeast united states.  All the radar sites displayed a false echo, not unusual for 1 or 2 sites, but all of them? And another thing now that I think of it!!  why have we not heard anyone give damage estimates regarding floods in Tennessee?  "We can't handle the truth" 

Thu, 05/06/2010 - 19:43 | Link to Comment knukles
knukles's picture

Amazing Coincidences  

Thu, 05/06/2010 - 18:33 | Link to Comment poorold
poorold's picture

"There is other satellite imagery being withheld by the Obama administration that shows what lies under the gaping chasm spewing oil at an ever-alarming rate is a cavern estimated to be around the size of Mount Everest."

 

does this mean we might have a solution to rising sea levels due to global warming.

Thu, 05/06/2010 - 18:36 | Link to Comment hambone
hambone's picture

WHERE IS ZH????  IS ZH STILL ON LINE???

Thu, 05/06/2010 - 18:41 | Link to Comment Shiznit Diggity
Shiznit Diggity's picture

Apparently so or you wouldn't have been able to post your comment

Thu, 05/06/2010 - 18:37 | Link to Comment hambone
hambone's picture

BTW - Market dropped a 1000 pts today...any thoughts on that?

Thu, 05/06/2010 - 18:44 | Link to Comment Shiznit Diggity
Shiznit Diggity's picture

Crash @ around 2:45 EDT was supposedly triggered by a bad print in PG (about $20 below the then market price)

Thu, 05/06/2010 - 19:02 | Link to Comment Howard_Beale
Howard_Beale's picture

Horseshit. It had nothing to do with a bad print on P&G. It was an avalanche of HFT selling. The rumor that 1 Billion vs. 1 Million fat fingered trade is being used as one excuse. Personally, I've never seen it possible to sell a billion of anything--why? because the chances that the CME or any exchange would allow anyone to sell a billion contracts is nil, zip, impossible. No one has that kind of account allowance.

My guess is that it was a monster seller of the big S&P contract. They will do all they can to blame it on a fat fingered trade but I won't believe it without proof.

Thu, 05/06/2010 - 19:08 | Link to Comment Mr Lennon Hendrix
Mr Lennon Hendrix's picture

How do we get you on cnbc?

Thu, 05/06/2010 - 19:11 | Link to Comment Howard_Beale
Howard_Beale's picture

LMAO...they bought that shit lock, stock, and barrel.

Thu, 05/06/2010 - 19:21 | Link to Comment Sisyphus
Sisyphus's picture

It was a warning shot by the PTB to all in Congress. Get that Sanders' amendment off our back, or else...

Thu, 05/06/2010 - 19:37 | Link to Comment Mr Lennon Hendrix
Mr Lennon Hendrix's picture

EXACTLY!

Thu, 05/06/2010 - 18:52 | Link to Comment Crab Cake
Crab Cake's picture

Well the propaganda machines are spewing that a trader pressed a "b" instead of an "m".

Which is beyond f'ing me, because b is pressed with the left hand, and m with the right; not exactly and a/s right next to each other situation.  On top of that the crummiest gambling websites I've ever been on have a double check on transactions, let alone high end proprietary trading software.  Billion instead of million, my arse. 

The other main line seems to be that the algos grabbed hold and tried to choke the life out on the way down.  Which is bs too because they are constructed to dump at preordained exit points.  They may have contributed to the drop, but that's not what got this going.

Nope this was panic selling, humans and computers running for the exits, because the retard traders who can't see past tomorrow saw what we've been seeing on this site for some time.

The turn around?  Pure manipulation.  F'ing PPT.  Free and fair markets, not in this country.

Shall I do Toathis?  No stop everybody!  I want to be a mushroom!  Feed me shit and keep me in the dark where it's warm and safe?  No people, or corporations, have to die!  Don't you see it, everything is going to be ok if we just stick our head in the sand!  Why are you all so crazy?  Fuck me. 

I want to watch this corrupted, usurized, malfeasant, oligarchic, corporatist state burn to the ground, and be torn apart by angry citizens.  I'm not opposed to helping clean up the mess though, so don't think I'm just an anarchist. 

 

Thu, 05/06/2010 - 19:20 | Link to Comment Howard_Beale
Howard_Beale's picture

There is no B! Not in futures contracts! NOT FUCKING POSSIBLE! The credit required to short 1 billion S&P's is an impossibility unless it was China. The only place B & M work is in a bowel movement which I am guessing more than a few traders did in their pants today.

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