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Rex Tillerson and Vladimir Putin: How the Anti-Russia Sanctions Backfired and Hurt America

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PHOTO: Putin has just awarded Tillerson one of the highest honors of the Russian State in 2013.

By Nick Stamatakis

I have been following this story of the long relationship between Rex Tillerson and Vladimir Putin for many years. It is now the story of a lost opportunity for America, a lost opportunity that will end up hurting our country more than anything else.  It started in the Fall of 1999, a few months before Putin rose to the presidency of Russia, with their meeting on the island of Sakhalin, known for its vast oil and gas deposits. It continued for almost 15 years until the “Deep State” organized the 2014 coup in Kyiv, and Russia was forced to take back Crimea.  An attempt was made to revive the business relationship in the first part of the Trump presidency when Rex Tillerson became Secretary of State, to no avail.  The barbarians of the Deep State had chosen their disastrous course…

You can read a good part of the story below, and there is plenty more online. For now, I will just say that it was tragic for our country to make the choices that the “deep state” made.

  • It is a known fact that Russia has at least $70 Trillion (yes, with a T) of known mineral wealth of all kinds—and this excludes areas not explored and also excludes the Arctic. It can be safely assumed that these deposits are ten times as much!!
  • The American establishment, prodded by those behind the scenes, made a choice based on arrogance and greed: Instead of using American capital and expertise in oil and mineral exploration by making a fair deal (50-50% or so), they opted for expanded NATO Eastwards (contrary to their early promises) and set as a goal to break Russia and grab all its wealth for free!
  • But this is the least of the losses: In addition to losing TRILLIONS from Russian mineral exploration, they ended up with the current Ukrainian debacle, which pushed Russia into China’s arms—and this is a geopolitical catastrophe like no other!!
  • WHY? You may ask…WHY would America not befriend a Christian country like Russia, a country that has been a central part of the European culture for centuries?
  • WHY? I have been hinting at the root causes here and there. It boils down to the exploitative nature of Western Hegemony. A recent example is France, which was kicked out of Niger.  What did France do? She was paying just 5% to impoverished Niger for extracting the country’s colossal uranium deposits!!
  • WHY? Because the West has repeatedly proven that if the choice is between cooperation and exploitation – THEY WILL MOST LIKELY CHOOSE EXPLOITATION.
  • Who is behind all this greed and arrogance? This is not Christian, you might say.  Yes, of course… Let me remind you that it started with the Crusades around 1100 AD.  Do you know why the Greek islanders still today hate the Westerners/Crusaders (they called them “Franks” or “Φράγκοι”) more than they hate the Turks?  Because of their exploitative, barbaric rule…  Two centuries of Crusades were followed (after a brief Rennaisance interval) by several centuries of Colonialism and ended up with two centuries of Imperialism…

This is what you are now watching before your eyes.  The disgust of the whole world against Western Hegemony… Ask the Chinese about the Opium Wars, and you will instantly know why  “Western” merchants (read “Judeo-Christian” merchants) were allowed to destroy China by selling opium and why they were supported by Britain and France and subjected the Chinese population to addiction… It’s a long story, but one word you must remember: “Judeo-Christian”… It’s synonymous with Barbaric…

The same degenerate “Judeo-Christian” civilization that today pushes transgenderism and “fluid gender identities” all over the globe… and expects that the Russians and the Chinese and the Africans, the Asians, and the Latin Americans will forget how brutal the West has been over the centuries…

Please allow me to stop here for now… It is truly tragic…

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source – texasmonthly.com

Exxon’s Russian Exit Ends a Messy, Prosperous Friendship

After Putin met Tillerson, billions were made, but at what cost?

exxon ends ties with russia
Texas Monthly; refinery: Mark Mulligan/Houston Chronicle/AP; Putin: Alessandro della Valle/Keystone/Getty

A rising Russian politician from St. Petersburg and a Texas oil executive from Wichita Falls met on frigid Sakhalin Island, off Russia’s eastern coast, in the fall of 1999 to begin what would turn out to be a warm, prosperous relationship—both for the men, who were born just months apart in 1952, and for those they were there to represent.

At issue was whether ExxonMobil would proceed with a multibillion-dollar investment to develop a giant project drilling for oil and natural gas in the icy waters off Sakhalin. By all accounts, Rex Tillerson, then in charge of the company’s Russian division, and Vladimir Putin, then the newly appointed prime minister of Russia, heard what they needed to hear at that meeting. Twenty years later, Exxon estimated the Sakhalin-1 project will have delivered a total of $89 billion to the Russian state treasury by the time the oil is tapped out, in about 2050.

Sakhalin was also extraordinarily successful for Exxon, bringing in many billions in revenue. In addition, it demonstrated that the company could drill extraordinarily complex wells in a region where the temperature could dip to -45 degrees Fahrenheit. Wall Street analysts praised Exxon’s ability to pull it off as a sign of the company’s globe-trotting savvy and noted that it was a financial home run.

Tillerson’s success at negotiating Kremlin politics and securing the deal was critical to his becoming chief executive and chairman of Exxon seven years after that initial meeting with Putin. And his experience negotiating with the Russian, as well as other global leaders, had much to do with his being tapped by Donald Trump—who called him a “world-class player” capable of making “massive deals”—to serve as Secretary of State in 2017.

But Exxon’s big bet on Russia is now over, and Tillerson’s vision of oil money fueling a democratic Russia appears to have been a pipe dream. This week, in the wake of the Russian invasion of Ukraine, the company announced that it would discontinue its Sakhalin operations and not make any new investments in Russia. The Reuters news agency estimated that Exxon’s Russian assets were valued at $4 billion.

The Exxon decision follows similar moves by its peers. In recent days, BP, Shell, and Equinor all announced they would exit their energy investments in Russia. France’s TotalEnergies said it would not make future investments. While the investments of some of the others are larger—BP’s sale of its stake in Rosneft could result in a $25 billion hit to its earnings—Exxon’s entanglements with Russia and Rosneft are, in many ways, longer-lived and deeper.

Indeed, Exxon invited Rosneft into the Permian Basin in 2013, selling it a minority stake in an exploration effort on the 220,000-acre La Escalera Ranch southwest of Fort Stockton. That marks the first—and, to date, the only—time a Russian state-controlled oil company acquired oil-and-gas assets in the United States. The Dallas Morning News summed up the deal pithily: “The Russians are coming to West Texas to learn about fracking.” Putin was so pleased about it that in June 2013 he awarded Tillerson the Order of Friendship, a high honor for a foreigner in Russia and the high point in the Exxon-Russian relationship.

The Permian figured into a much larger deal Putin and Tillerson had worked out. In 2011, Tillerson—by then Exxon’s CEO and chair—agreed to invest $3.2 billion to drill for oil in the ice-choked Kara Sea in the Russian Arctic, as well as in the Black Sea. ”Today really is a historic day,” Tillerson said at the signing ceremony, hosted at one of Putin’s country homes. ”It marks the beginning of a new and broader relationship.”

Three years later, Russia took the Crimean Peninsula from Ukraine. The U.S. imposed sanctions on the president and chairman of Rosneft, former KGB operative Igor Sechin, and then on Rosneft itself. Those sanctions prohibited the export of technology to Russia to help it drill complex wells, effectively killing Exxon’s Russian expansion. Following further sanctions resulting from Russia’s interference in the 2016 presidential election, Exxon announced in late 2017 that it was ending all of its joint ventures with Rosneft, from the Kara Sea to the Permian, except for Sakhalin. The company booked an after-tax loss of $200 million.

Exxon kept right on running Sakhalin, until now. In announcing its divorce from Russia this week, the company didn’t say anything about why it hadn’t pulled out of the country sooner. Why not when Putin took Crimea by force, or when he sought to undermine faith in America’s democratic system? (In fairness, these are questions any number of others doing business with Russia could be asked.) Exxon stands to lose billions by leaving Russia—not to mention much more from the prospective development of a liquified natural gas terminal on Sakhalin.

This week’s decision may have been made easier by the fact that Sakhalin’s peak years of profit are behind it. An Exxon executive said during a call with investors on Wednesday that Russian operations contribute no more than 2 percent of the company’s profits. “We abhor Russia’s military action in Ukraine and are deeply saddened by the loss of lives and the needless destruction,” said Darren Woods, who succeeded Tillerson as Exxon’s CEO in 2017, on that same call. Woods added that the sanctions imposed by the U.S. and its European allies in response to Putin’s aggression make it impossible to continue to lead the Sakhalin project.

Exxon and Russia’s long relationship started with high hopes for democracy. It’s ending in bitter disappointment, despite the rich rewards both reaped along the way.

13 COMMENTS

  1. Nick. You are getting carried away, with your anti-western rhetoric. I agree that the West has exploited many parts of the world. I agree that America exploited Central America and Mexico. I even agree that America pushed Japan into WWII by strangling her access to resources. I agree that the crusades did much damage to the Byzantine empire but did you know it was in revenge for the massacre of the tens of thousands of Latins that were residing in Konstantinople? I agree that the crusades were hostile to the Moslems, but, the lands that the crusades wanted restored to Christianity were Christian lands, until the Moslem conquests of the 8 century A.D.
    Look at the world now. Christian Europe stopped slavery, which Arabs and black Africans were still practicing. And the whole world wants to come to the West and the West has accepted millions upon millions of third world people. If the West was so bad, then why do they want to come here? Why not go to China, or North Korea? Or Russia? And any Asian country, that wants to be modern, imitates the West. You dont see Western countries imitating Asian ones. And Western medicine has saved billions of black and Asian lives. The reason the world is overpopulated is because of Western medicine.

    • You are confusing things… Arabs and Blacks and Jews and British were slave merchants – why do you only state half the truth? Or you forgot that Jewish groups were part of huge drug trafficking – it was in the news recently and even earlier. The West completed almost 10 centuries of exploitation… Only the Hellenic/Hellenistic culture which gave rise to Christianity in the three centuries after Alexander the Great was based on peaceful cooperation between races and nations… When St. Paul said “There is no Jew or Gentile” he had three full centuries of peaceful Hellenistic culture behind him.
      As for what the rest of the world is looking up to, hold your horses… if the Democrats somehow maintain power after November, nobody would want to come here… What will they come to do? Have transgenders mingle with their kids in school?

      • Nick. You are correct about the era of peace during the 300 years leading up to the birth of Christ and the Hellenistic civilization and Greek language that enabled its spread. All historians agree that if it wasn’t for the Greek language, Christianity would have stayed a small Jewish sect. As much as we have every right to be proud of our ancestors, one thing that we can’t attribute to them is “peaceful co-existance” as you say. The Romans were tired of the constant fighting in the Greek world, between the Hellenistic kingdoms of Syria and Egypt and also in Greece proper, between everyone fighting each other, that they attacked Macedon in 179 BC and annihilated the famous Macedonian phalanx, Then, they attacked the Achaean league, because they didnt help Rome to her liking against the Macedonians and burnt Athens to the ground.
        The Greek subjugation to the Roman empire proved a blessing in disguise. It was the time of “PAX ROMANA”, “Roman peace” and Hellenism genius found a fertile ground to grow. Alexandria and Athens were the centers of learning. Greek language was the common vernacular in the East. The Romans fell in love with the Greek way of life and tried to imitate it as much as possible. And Greek was the language of learning, the English of its day. That’s why the Gospels and all other texts were written in Greek. And then, of course, the Roman empire in the East morphed into the Greek Byzantine empire that lasted 1100 years, while Rome itself was conquered by Barbarians in 425 A.D/. Greeks were never peaceful people. Especially between themselves

        • Let me remind you and all that the Septuagint – the translation of the Old Testament to Greek – was done by Hellenized Jews around 250 BC, only 70 years after the death of Alexander the Great and a long time before the Ronans had anything to do with the Middle East or the Eastern Mediterranean… Long before they could be considered “civilized” and much longer before any Pax Romana.

          • You are correct. The fact that Greek became the universal language, even before Rome had conquered the Eastern Mediterranean, was one of the required elements to combine and produce a universal faith. The other requirements were a common empire in peace, to facilitate safe travel, roads, which were one of Rome’s accomplishments, and the opening of the mind, by the Greek philosophers. Plato and Aristotle’s thinking were incorporated in Christian teachings. The philosophy of the Stoics was adopted by Christianity. A Jewish faith was upended completely and became a Greek faith and then world faith. Greeks would have never adopted Christianity if the Jews insisted on circumcision. We Greeks dont like anyone cutting anything down there. And then, dietary restrictions. Greeks wanted none of that. So, St Paul did away with both

    • I will point out one of the many items that are wrong in your comment. I am asking you who is behind the
      globalization of Europe and the Americas resulting to fill up all Christian countries with Muslims?.
      Behind all of this are seek in mind people (crooks) that are hating Christians and Christian values.
      I can assure you that they are going to loose, their end is coming.

  2. I was not aware about the Rex Tillerson and Putin relationship. Thank you for sharing this history with your readers. What fools lead our nation.

  3. Spanish colonists stopped cannibalism in the Carribean, in Mexico and in Peru. In India the English stopped the barbaric practice of burning alive the wife on the burning corpse of he cremated husband and after 1820 they banned the slave trade ships from Africa of crossing the Atlantic, with their powerful Navy. In China the Europeans banned the practice of binding girl babies feet which made them invalids.Now we expect the Arabs and Turks to apologize for 1400 years of Jihad and destructions of many countries from Spain to North Africa the Balkans Constantinople, Egypt, Syria,Persia and India with more than 270 million deaths.

    • There is not enough space in this website to describe the atrocities of the Spanish colonists in Latin America – or back in Spain during centuries of Inquisition against Jews or Muslims. Nobody was more barbaric. Do you really want to go down that road? You are proving my point..

    • No matter what you are saying my friend the British one thing they had
      in mind was the colonization of the whole world ( exactly what the globalist are trying to do today).
      Fortunately they lost and they became again habitants of a small Island
      without any resources. The English people are paying today for the sins of their forefathers .

      • Yes Captain.. The British , American ” German White Supremacist Anglo White Anglo Saxon Protestant people all will pay for the sins of the forefathers for refusing to admit that they have done great wrongs against humanity .. not their Racist Religious and Government leaders !
        AS we read Bob Karp admit the Crimes of America thruout the world, he despicably follows the face of Anglo Saxon Protestant white supremacist of America and England “Winston Churchil , Hitler, Netanyahue, Biden, Bush Family. and ruling Republican and Democratic Crime families whose manifesto is the foundation of the British and American legacy .. of War crimes, Crimes against humanity , Crimes against Peace , genocide etc etc .. all for the greater good of the world ! That better people have taken over !

        In 1902, Churchill stated that the “great barbaric nations” would “menace civilised nations”, and that “The Aryan stock is bound to triumph”.

        In 1906, Churchill stated that “We will endeavour … to advance the principle of equal rights of civilised men irrespective of colour.”

        In 1937, Churchill stated that:

        I do not admit … for instance, that a great wrong has been done to the Red Indians of America or the black people of Australia. I do not admit that a wrong has been done to these people by the fact that a stronger race, a higher-grade race, a more worldly wise race to put it that way, has come in and taken their place.[2]

        Henry A. Wallace, Vice President of the USA, reports in his diary that during a White House lunch in May 1943 Churchill “said why be apologetic about Anglo-Saxon superiority, that we were superior, that we had the common heritage which had been worked out over the centuries in England and had been perfected by our constitution.”
        Unfortunately , Churchill and Bob Karp forget to mention … that Crime families do not abide by the laws and mandates of the constitution, or any other constitutions of the World body of Nations ..to loot the world of all its resources and power!

        “In Judgement I come into this world , so the Blind can see, and those who can see will go blind..Jesus

        And you don’t think .. Captain .. the people of Britain and America cannot see what they fund and support , and hence, “One way or Another “.. they are going to be blinded!

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