Offshore Drilling Oil Moratorium: Obama's Idiotic Decision

Obama once again has shown his lack of experience and expertise, as well as that of his advisers, in his decision to ban offshore oil drilling for six months in the wake of the tragic BP oil spill.  Too bad he didn't consult with someone with firsthand knowledge and experience in oil drilling, such as country music singer Trace Adkins who was recently interviewed by CNN's Anderson Cooper:

"an uninformed decision, just ridiculous"

"punishing American companies for what a British company did"

"shuttin'  down the oil field is like kickin' a man when he's down"

Adkins mentions the service, supply and caterirng businesses that depend on the oil rigs for business.  Did the Obama administration seriously consider the wide-reaching impact of such a moratorium, or was he and his cronies hell-bent on shutting down the oil industry -- innocent folks in the fray be damned?

And now what about other countries that could move in and rent the idle rigs for their own profits?

Brazil sees silver lining in BP spill: more rig

 * Brazil may pick up rigs idled on moratorium

 * Could help the country's offshore campaign

 * Deep water rigs in tight supply around the world

 RIO DE JANEIRO, June 11 (Reuters) - Brazil could benefit from the BP Gulf of Mexico spill as a U.S. moratorium on
offshore drilling boosts available rigs for the country's deep
water oil exploration program.

 Even as an ecological catastrophe makes the future of U.S. offshore drilling less certain, Brazil is plowing ahead with a
$220 billion five-year plan to tap oil fields even deeper than
BP's (BP.L) ill-fated Gulf well, which is still leaking crude.

 With an estimated 35 rigs idled in the Gulf of Mexico, Brazil is already receiving inquiries from companies looking to
move their rigs here, where vast discoveries in recent years
may soon turn the country into a major crude exporter.

 "What is bad for some may be good for others," said Fernando Martins, Latin America Vice President for GE Oil and
Gas, which provides services to drillers in Brazil.

 "Since operators are shutting down at least temporarily in the U.S. Gulf, some companies are planning to move their rigs
to Brazil now," he said, without offering details.

 The spill has temporarily halted new drilling in the Gulf of Mexico and Alaska, and has spurred Norway, which 40 years
ago pioneered offshore drilling, to halt new licensing for now.

 Brazil's state oil company Petrobras (PETR4.SA) (PBR.N),
which already produces around a quarter of the world's deep
water oil, could be an obvious candidate to take newly
available rigs. 

 Petrobras declined to comment on the issue. 

 But Mauricio Tolmasquim, a top Brazilian government energy advisor, said this week that he expected the Gulf spill to
benefit Petrobras by making more deep water rigs available -- adding that cost savings could be offset by higher insurance premiums for drilling operations. 

 Brazilian officials, including government leaders and Petrobras executives, have said Brazil has no intention of
slowing its offshore development as a result of the spill. 

 Analysts say oil companies operating in the Gulf of Mexico -- most notably BP and Chevron (CVX.N) -- may have to decide between paying standby fees while the rigs are idle, moving
them to other projects, or canceling the contracts. 

 The U.S. moratorium may last longer than six months because of U.S. sentiment against offshore drilling and plans for an
overhaul of safety standards. 

 This could provide further incentives to move rigs to Brazil or West Africa, which together with the Gulf of Mexico have over the last five years been the principal areas of deep water exploration ...

 This rapid deep water growth may leave oil majors unwilling
to cancel rig contracts, despite the expense of keeping them
idle, for fear of losing rigs they need down the road. 

 "If I'm Chevron, I know I've got Petrobras looking over my shoulder, and if I cancel that rig I'm taking the chance that I
might not get it back," said Kurt Hallead, an analyst with RBC Capital Markets, who covers oil services ...