UNOCAL Deal: Chinese Offer Should Be Rejected

The Chinese offer to buy out the American oil company UNOCAL should be rejected.

Here's why:

The Chinese company making the buyout offer (CNOOC Ltd.) is not an independent company that is a stand-alone corporation. 70% of it is owned by the Chinese government. This is a REAL national security threat.

For communist China to control the ninth largest American oil company is unacceptable. Our internal oil supply systems need to be free and clear of non-democratic foreign government influence, and for CNOOC to take over UNOCAL would represent a loss of American control over a substantial amount of oil that might be cut off if the U.S. and China ever get into it over Taiwan.

If this was anything BUT oil, it wouldn't raise nearly as many hackles, but with oil prices approaching record highs, now is not the time to give up control of a large percentage of oil to a communist government that is intent on either conquering a democratic neighbor or destroying it (Taiwan).

If China was a democracy, there wouldn't be an issue. Venezuela's ownership of Citgo is a problem for the U.S. right now; so is Saudi Arabia's control of other U.S. oil assets.

Until we develop a home-grown fuel alternative, we are vulnerable to supply problems affecting the price for gas. So 'no' to the Chinese for now.