Humble Dogs

That they might see with their eyes, hear with their ears, understand with their hearts. Matthew 13:15b

Archive for the tag “Chinese”

Chinese Control Oilsands

In a December 10 column, “Nexen sale decision-making seen through different prisms” Andrew Coyne asks:
“Would someone please explain just what it is they think the Chinese are plotting to do to us? Starting with: How does China acquire this death grip on the oilsands in the first place?”

Here is a possible scenario of how China does just that:

The US is in dire financial trouble and much of that is the trillions in debt they owe to and borrowed from China.

Phoenix Energy Holdings Ltd., the Canadian subsidiary of PetroChina Co. Ltd. is already in partnership with TransCanada Corp. to build a new $3-billion, 900,000 barrel-a-day Grand Rapids Pipeline System south to service the US market. Couple that with the existing pipelines, supplies the US all the oil they need. This pipeline is a guaranteed “GO” by Harper and co.

In five years, the US, under a Republican administration, will broker a deal with China which will ease the burden of debt China holds over the USA. Why not forgive a large portion of the debt? China will never collect on it anyway. Besides, they need their biggest trade customer to remain fiscally solvent.
Part of that deal is to supply the US with cheap bitumen crude from Canada which will force the barrel price of oil sands crude to below $50.
At this price, Chinese companies will be the only producers who can afford to continue oil sands operations.
In exchange for cheap Canadian oil, China will import crude oil from Alaska, also at a discounted price; better oil, shorter distance.
The Northern Gateway Pipeline through BC is started but never completed. Many investors abandon the oil sands for lack of profitability.
Golden opportunity for China to take over under Harper’s “exceptional circumstances.”
Safety will decrease, pay will decrease, exodus of Canadian workers, Chinese workers brought in as “temporary”.
New energy technology will replace majority of fossil fuels within 20 years, possibly nuclear and thermal.
Over $400 Billion projected costs to clean up after the oil sands bitumen demand runs out in 20 years.
The only promise that the Conservatives will be able to say they kept is the 20 year promise to reduce fossil fuel greenhouse gases.

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Workers Needed in BC

Does any Canadian want to work underground in a coal mine for $12/hr?
Apply at Dehua International Mines, Tumbler Ridge BC.

The median starting wage for coal mining in Canada starts at $55,000 per year / $25.00/hr.
Peace River Coal Inc. an operation nearby typically pays its employees 10% over median.
Sherritt International in Alberta pays approx. 12% over median.

Canadian Dehua International Mines Group Inc., a consortium of Chinese companies has put up $1 billion to develop metallurgical coal from B.C.’s northeast. After posting publicly for miners and offering $12 to $15 /hr. and getting no Canadian takers for the jobs, they are now bringing in up to 400 Chinese temp workers at 15% less pay, $10 – $11 /hr. Its hiring policy has the support of Canada’s federal government, which has already approved temporary visas for the Chinese workers, and the provincial government, which sets regulations regarding mine operation and safety.
The Chinese management at Murray River has stated that Canadian miners don’t know longwall mining and preference is given to workers who speak Mandarin.

This is union busting at it’s lowest degree. Not only is the government permitting this atrocity, the Chinese miners will be paying bare minimum income tax on their wages if any at all. The coal that is mined is sold directly to China at a discounted price leaving less royalties paid in Canada and, because of the below market price, most likely a trumped up loss on the books of Dehua International Mines meaning no corporate taxes paid either. It is a lose – lose – lose for Canada.

Just another brilliant example of resource management by the Feds.

Seeing the safety and performance records of Chinese owned companies, can they really be trusted?

Yukon Zinc Corp., another Chinese mining company operation has been closed for safety reasons by the Yukon Government after several deaths over 3 years and a massive cave-in occurring February 2011.

Two imported Chinese workers have already been killed while erecting a storage tank at a Chinese site in the oil sands.

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