Viewpoint
The Battalion
Texas A&M University
Monday
November 20, 1978
Mexican oil finds change picture for U.S.
By LeROY POPE
UPI Business Writer
NEW YORK — Mexico’s huge new oil
deposits have changed the world’s energy
picture so drastically that President Carter
should reverse his present energy policy,
according to one top petroleum re
searcher.
Dr. Irwin M. Stelzer says the
emergence; of’ Mexico as a potential major
oil exporter brings into question the as
sumptions underlying the administration’s
energy policy.
“The persistent adherence to a view of
energy resource exhaustion and scarcity,
which was wrong from the beginning, now
becomes dangerously removed from
reality,” said Stelzer, president of National
Economic Research Associates, a New
York-based economic consulting firm
specializing in energy.
Stelzer says the United States, Mexico
and Canada need to pursue a cooperative,
coordinated development of energy on a
continental basis. He says the United
States won’t need synthetic fuels and huge
imports of liquified gas if more friendly
policies toward Mexico are pursued that
will win us a large share of the Mexican oil
and gas.
It is more sensible, he said, to buy oil
and gas, even at fairly stiff prices, from a
natural trading partner such as Mexico
'“than to run bilateral trade deficits with
countries that bank most of their foreign
exchange earnings and thus create funda
mental instabilities in the international
monetary system.”
Stelzer said there is little reason now to
doubt that Mexico’s newly discovered pe
troleum reserves, kept largely secret by
the Mexican government for five years
may equal or surpass those of Saudi
Arabia.
THE OIL FINDS in the states of
Chiapas and Tabasco on the Isthmus of
Tehuantepec and the newer offshore dis
coveries under the Gulf of Campeche, ac
cording to Stelzer, are so rich that the
wildcat drilling success rate has been an
astounding 82 percent. He says this con
trasts with rates of 16 to 27 percent in the
United States.
At first, the Mexicans were inclined to
believe the offshore discoveries under the
Gulf of Campeche were a continuation of
the Reforma field on the Isthmus of
Tehuantepec but further drilling revealed
that the offshore field is separate. It is be
lieved now, Stelzer said, ‘‘that the com
bined offshore and onshore (fields) may be
part of a giant ancient barrier reef that
encircled in former geologic times, what is
now the Yucatan Peninsula.”
Stelzer said the geologic conditions re-
r
The new bneed of Wet-back.*
Ho!a, Amigo/
semble those in the United States and the
U.S. areas of the Gulf of Mexico, therefore
the oil, which is high quality and low-
sulfur, is relatively easy and cheap to bring
to the surface. He said the Mexicans con
ceivably could ultimately produce nearly
10 million barrels of petroleum a day but
they have no desire or reason to waste
their oil and gas so extravagantly.
MUCH MORE REALISTIC, he says,
are forecasts of a production of 3.25 to 3.9
Analysis
million barrels a day by 1985. Production
was running at 650,000 barrels a day in
February, 1977, and the Mexican state oil
company, has set a public goal of 1.5 mil
lion barrels a day by 1982.
Even recent Energy Department
analyses give the impression the U.S. gov
ernment has all but ignored the possibility
it may have a second Saudi Arabia on its
doorstep. But Energy Department offi
cials say that is an incorrect impression.
“The Mexican government was very
good at keeping this confidential until Sep
tember,” one official said. “Now they’re
talking about what they have. The Mexi
cans kept the lid on the figures, under
played them, for domestic political rea
sons. We knew what their estimates were,
but we didn’t publish them. It’s wrong to
say it’s been ignored.”
Oil industry officials suggest there may
be a second reason, besides courtesy to a
neighboring goverhmept, _f6r the “EflfeTgV
Department’s low profile on Mexican oil.
They say the United States apparently
doesn t want to become heavily reliant on
oil from Mexico because it might lead to a
political conflict between energy needs
and social problems such as illegal immi
gration in the West and Southwest.
BUT U.S. OIL COMPANIES may not
be free from ulterior motives when talking
about Mexican oil. Mexico was the first
nation to fully nationalize its oil fields, in
1938, and has refused all efforts by the
U.S. oil industry to cash in on the new
discoveries.
“They (the Mexicans) will always do it
on their own,” said one senior Energy
Department official. “They’ll be bringing
in U.S. consultants and buying U.S.
equipment, but they’ll never let the U.S.
companies in again — or never in our
lifetimes, at least.”
In any case, the United States is already
Mexico’s best oil customer.
In 1977, the first year Mexico had much
oil to export, the United States imported
an average 170,000 barrels a day, 17 per
cent of Mexico’s production of almost 1
million barrels a day.
Energy Department officials estimate
Mexico’s production will climb to between
4 and 5 million barrels a day by 1985, and
they say the United States is likely to buy
most of it.
STELZER’S EXPLANATION of the
Mexican reticence is more sympathetic.
In the first place, he said, the Mexicans
did not make the discoveries all at once
but very gradually. Secondly, no interna
tional oil companies were involved. The
big oil companies were thrown out of
Mexico in 1938 by President Lazaro Car
denas, who accused them of having been
> rapacious,-of having wastefully overpro-
~ duced and damaged the utfderground oil
bearing formations, and of treating Mexi
can labor oppressively.
In addition, Stelzer said, the adminis
tration of former President Luis Echever-
ria “was dominated by hostility toward the
United States.” He apparently feared that,
with the real value of the big Mexican
deposits being confirmed during a period
of near hysteria in the United States over
the Arab oil embargo, the Nixon-Ford
administration might do almost anything
to get access to the Mexican reserves,
Stelzer said.
President Jose Lopez-Portillo is follow
ing a quite different policy, he said.
The United States presently is getting
83 percent of what oil Mexico is exporting.
But Lopez-Portillo has no intention of
being dependent on the U.S. market or
expanding production just to meet the
demanding desires of U.S. oil companies
and consumers.
Instead, Mexico is building deepwater
terminals at Salina Cruz on the Pacific and
Pajaritos on the Gulf of Mexico to handle
tankers up to 250,000 tons so she can ex
port her oil anywhere in the world.
There still is another reason why the
Mexican discoveries remained under
wraps so long, Stelzer said.
“FOR 15 YEARS, until 1973, all petro
leum prices were frozen in Mexico,” he
said. “The effect of this freeze was to deny
the state oil company the necessary finan
cial resources for any significant expansion
in exploration and development. Tempt
ing as the early indications (of the new dis
coveries) were, there was simply no way of
increasing the pace of followup work and
seeking foreign aid from any source was
politically unthinkable.”
The most significant feature of Mexico’s
changed attitude is its willingness to ex
port crude oil. For a long time, it would
only export refined products.
THE CONTROVERSY with the
United States over imports of Mexican gas
is different.
American oil companies and utilities are
willing to pay the $2.60 a thousand feet the
Mexicans want for their gas but the Carter
administration won’t permit it because it is
more than Canada is getting for her gas
exports to the U.S. and the Mexican price
could be a complication in the fight over
domestic gas price regulation.
Finally, Stelzer said, Mexico still dis
trusts the United States because of the
persistent memory of her big losses in the
war in the last century, of the U.S. incur
sions into her territory in this century
(President Wilson’s massive 1916 retalia
tion for a border-raid by Pancho Villa’s
rebel army) and “the continuing failure of
the United States to live up to its treaty
obligations concerning (water from) the
Colorado River” on which so many Mexi
can farmers depend.
Modern foods as grandma woulda dunnit
By DICK WEST
WASHINGTON — After buying a box of
so-called breakfast bars at the supermar
ket, I fell to wondering who creates the
recipes for products of this type.
One look at the list of ingredients will
pretty well convince you that it isn’t an old
family recipe. I mean, if these were break
fast bars like grandma used to make they
wouldn’t contain quite so much polysor-
bate 60.
Cooks back in grandma’s day might have
made liberal use of sorbitan monostearate
when whipping up a batch of breakfast
bars, but they tended to go easy on the
polysorbate 60.
Even polysorbate 59 probably would
have been a bit much for ol’ granny.
But recipes like this don’t just mate
rialize out of thin air. Somebody has to de
cide how much copper gluconate to put in
the batter, and somebody has to make the
determination that the breakfast bars
would be improved by the addition of
thiamine mononitrate.
My guess is that the companies that
Humor
make these products maintain test kitch
ens for experiments with new culinary
ideas. And I like to think the kitchens are
operated by little grey-haired ladies who
are pretty fussy about what goes into the
oven.
I can see nice Mrs. Fiddleworth stirring
away at the mixing bowl. Occasionally she
lifts the big wooden spoon and tips out a
bit of batter to see how well it drips. Then
she calls to Mrs. Upbash.
“You wanna step over here and taste
these breakfast bars. Mossy Belle? I think
they need something.”
Mrs. Upbash takes the spoon to her lips
and rolls her eyes reflectively.
“I’d say a pinch or two of calcium pan
tothenate might help. Right now it’s got a
mite too much pyridoxine hydrochloride
for my taste.”
Mrs. Fiddleworth wrings her apron in
exasperation. “Land sakes! It was the ferr
ous fumarate I was afraid of getting too
much of.”
Mrs. Upbash pushes back a wisp of hair
from her forehead.
“A little pyridoxine hydrochloride goes
a long way. But I’m glad you remembered
the sodium stearoyl-2-lactylate. To me,
breakfast bars wouldn’t be breakfast bars
without a thimbleful of sodium stearoyl-2-
lactylate.”
Mrs. Fiddleworth smiles. “I always say
a dash or two of magnesium hydroxide
does wonders too.”
Mrs. Upbash nods. “You just can’t have
too much magnesium hydroxide and cal
cium caseinate as far as I’m concerned.”
“Well, OK, then,” Mrs. Fiddleworth
says. “As soon as I sprinkle on the lecithin
and naicinamide, it will be ready for the
baking pan.”
Mrs. Upbash nods again. “By the way,
what’s that funny looking stuff on top of
the stove?”
“It’s new to me, too,” says Mrs.
Fiddleworth. “They call it salt.”
Letters to the Editor
Aggie blood drive a success, but still more needed
Editor:
I was truely impressed with the results
of the Aggie Blood Drive this semester.
One thousand sixty persons gave a total of
more than 132 gallons of blood. But I am
concerned that the support shown blood
drives is unnecessarily limited to only
once a semester, coincident with the visits
of the Wadley Blood Service. I wonder if
this activity is not, primarily, simply
another tradition around which Aggies
rally to what their united efforts can
achieve. I fear it may be more a manifesta
tion of group spirit than of human concern.
There can never be too much blood in re
serve, but there is often too little.
There are a few valid medical reasons
for not donating blood (mostly of a tempo
rary nature), but the most common range
from selfish unconcern to fear. I am
amazed at those who have never tried giv
ing blood. A lot of people simply don’t
want to be bothered. Thank God for those
who aren’t so self-centered. There are a lot
of people out there who suddenly find
themselves dependent on the generosity
of others to keep them alive.
A pint of blood can be safely donated
every eight weeks, so a conscientious per
sonal plan is to give every other month.
The Central Texas Red Cross Blood Pro
gram of the American National Red Cross
comes to the Bryan/College Station area
every month, but there is often difficulty
in meeting the quota (determined by the
average need of this area) of only approx
imately 200 units. I find this incredible.
The number of available donors in the
community as a whole would be difficult to
estimate, but viewing the campus com
munity alone is very illustrative. Consider
ing age and health, the entire student
body can be considered potential blood
donors. If even half of these (an un
realistically low estimate) proved unable to
qualify as donors, that still leaves 15,000.
Assuming an every-other-month schedule
of donation, that is 7,500 pints of blood
that should be donated every month. (By
this standard, even the Aggie Blood Drive
didn’t do very well, did it?)
To maintain the tradition of an or
ganized blood drive on campus is lauda
ble, but sustained effort to meet human
need is more noteworthy. Blood collection
on campus occurs only three times a year,
and the blood donated is not available to
area hospitals. Shouldn’t we, even as tern-'
porary residents of this area, contribute to
meeting local blood need?
The only source of human blood is the
human donor. Whole blood is commonly
separated into its component parts, so one
unit can benefit up to 6 people. Hundreds
of times each day people are given a sec
ond chance to live, simply because a nuc
leus of thoughtful, nameless persons cares
enough to take the time and trouble to
give blood. This makes the donation of
blood one of the most highly personal and
unselfish acts a person can perform.
The Aggie Blood Drive gets a lot of pub
licity and a lot of backing. The Red Cross
Blood Drive deserves more of both. The
next blood drive will be at the Ramada Inn
Tuesday and Wednesday from noon until 6
p.m. Please, show some Aggie support,
and human concern, and put that 200-pint
quota to shame.
—Randy Kirkpatrick, Graduate Stu
dent
Hughes’ letter of Nov. 15 defending “To
day’s Student.”
Before going any further, I wish to state
that I am not objecting to Hughes’ criti
cisms of homosexuals and homosexuality. I
do very definitely object, however, to his
statement that “There have been few
complaints about the paper (Today’s Stu
dent) made other than by homosexuals and
Iranians.”
Firstly, Hughes’ lumping Iranians with
homosexuals shows more than a trace of
good old-fashioned Archie Bunker-type
bigotry. “Homosexual” may be a dirty
word, but I never heard that “Iranian” —
or “Italian ”, “Cyke,” or “Mexican” — was.
Secondly, from what source does
Hughes get his information that “Today’s
Student’ is only unpopular among
homosexuals and Iranians? I am a native
Texas and am just as heterosexual as I pre
sume Hughes to be. In spite of my being
such a loyal, upstanding citizen (I even
know the Lord’s Prayer and the Pledge of
Allegiance) I and many of my friends (also
American and also hetersoxual) consider
“Today’s Student” to be a farcical,
opinionated, more than slightly objection
able piece of pseudo-journalistic prop
aganda. Now, Hughes, you are certainly
entitled to your opinion, and I am equally
entitled to mine. But don’t call me names
because I disagree with you. I refer to the
last sentence of your own letter:
“Homosexuals should learn to open their
minds and close their collective mouths.”
—Laurel Mitchell, ’82
or Battlestar Galactica, it is still a bright
spot in my daily life. The Battalion staff
does an excellent job, considering the
small reward the members receive. At
times, however, the complaining, moan
ing and groaning in the letters to the
editor gets a little old.
I am thankful that I am able to write this
letter and live in a country where it can be
freely published. I live in a time and coun
try of adequate provision. Had I been born
in another country, I might now be sitting
in the streets starving to death. Sbisa food
really isn’t all that bad.
I am grateful for the opportunity to at
tend TAMU, the best of many fine univer
sities (yes, our rivals across the Brazos in
cluded) of this nation. If we Aggies are not
the most intelligent students, at least we
are the friendliest.
Not all our favorite political candidates
won in the last election, but the demo
cratic (republican) process is working. If
our governmental leaders seem dishonest
and lackadaisical, remember we are to
blame. We elected most of them.
On a less serious note:
Homosexuals at A&M may not be all
that bad. Men presently outnumber the
women, and more homosexuals may sim
ply reduce the competition in normal dat
ing.
‘Lumping’ unfair
Editor:
Batt-fan gets serious
Some students say that the bonfire is a
waste of time and wood. I am glad some
one has the time and wood to spare.
Editor:
I enjoy reading the Battalion each
weekday. Though it isn’t Mork and Mindy
And thank heaven Highway 6 does run
both ways. I really enjoy going home for
the weekend now and then.
—Frank Wurbs, ’77
Top of the News
CAMPUS
Miller to help on scholarship
Texas A&M University President Jarvis E. Miller is among a select
group of university presidents invited to the White House Dec. 5
by President Carter to explore means of implementing the Hubert H.
Humphrey North-South Scholarship Program. The new scholarship
program honoring the former vice-president and senator from Min
nesota is designed to bring to this country young men and women
of modest means from all of the developing nations which have di
plomatic relations with the United States. A White House spokesman
said the scholarships will be offered to those engaged in public ser
vice for a one-year course in fields directly related to their work, not
necessarily leading to a degree. The fields of study will include health
services, social work, rural or urban development, legal services,
education, public administration, and communication.
Big brothers and sisters needed
Volunteers are needed in the "Big Brother-Big Sister” program to
ed
Ci
provide male/female companionship to underprivileged children.
This requires only a couple of hours each week. Bryan Boy’s Club also
needs volunteers to fill various positions. For more information on
either of these programs go by the Student Volunteer Services cubi
cle in room 216 of the Memorial Student Center or contact Janet
Cooper at 845-4508 or Debbie Cardwell at 693-3012. Deadline is
Dec. 1.
IS
Economics programs get boost
The Phillips Petroleum Foundation Inc. has tentatively committed
$125,000 over the next five years to support economics programs in
Texas A&M University’s Center for Education and Research in Free
Enterprise. The foundation has pledged $25,000 for three consecu
tive years and will consider funding for an additional two years after
evaluating the overall effectiveness of the center. Texas A&M’s free
enterprise center was established two years ago by funding from the
Association of Former Students.
STATE
Gun salute leads to arrests
The Brown Berets, a group of Mexican-American activists fired an
18-gun salute — apparently using blanks — in a demonstration
Saturday, and police in Houston arrested 10 members of the group. A
Brown Berets spokesman said about 60 persons held a demonstration
in Moody Park Friday in honor of Adan Hernandez, who died in
police custody Sept. 25. The group’s spokesman said police claimed
Hernandez strangled himself, although examining doctors said he
had a cardiac arrest.
Wind hampers fire fighting effort
Boots and Coots Inc., a Houston well fire fighting company, tried
again Saturday to pump heavy drilling mud into a spewing natural gas
well that blew out Wednesday in Bayou Sale, La. The blowout oc
curred as workers were preparing to pour drilling mud down the well
to stop the gas flow while repairs were being made. The gas was
feeding a 20-foot high flame atop a "Christmas tree” of valves regulat
ing the well, which is located in a remote section of St. Mary’s Parish
near the Intracoastal Waterway. A wind shift hampered the process.
NATION
Hunters beware; missiles fired
West German Air Force personnel are scheduled to fire two Persh
ing missiles today from the McGregor Range northeast of El Paso.
These are the fifth and sixth in a series of fall Pershing launchings.
Deer hunters in the northern extension of the range will be
evacuated during the test. Army officials at White Sands Missile
Range, N.Mex., announced several roadblocks also will be erected,
Experts keeping eye on flu cases
Influenza experts at the national Center for Disease Control in
Atlanta are keeping a close watch on the season’s first reports of
Russian flu cases for signs of any changes in the virus that might make
more people susceptible to infection. Because of its wide distribu
tion, CDC flu experts believe there will be outbreaks in most of the
states this fall and winter. In winter and early spring outbreaks in the
United States, the virus attacked those under age 25 almost exclu
sively, although a few older people contracted the illness in the later
stages.
WORLD
Plot stopped; King continues trip
The Spanish government, on the eve of King Juan Carlos’ trip to
Latin American, crushed a plot by right-wing military and police
officers to overthrow the post-Franco democracy, Madrid news
papers said Saturday. Government sources said at least 12 officers,
including four generals, five colonels and three lieutenant colonels,
were arrested in connection with the conspiracy. The king left on a
15-day trip to Mexico, Argentina and Peru as planned Friday but was
kept informed on developments in Spain.
WEATHER
Rain and a few thundershowers through Tuesday. High
Monday high 60’s, low early Tuesday high 40’s.
The Battalion
letters policy
Letters to the editor should not exceed 3(X) words and arc
subject to beum cut to that length or less if longer. The
editorial staff reserves the right to edit such letters and does
not guarantee to publish ant/ letter. Each letter must be
signed, show the address of the writer and list a telephone
number for verification.
Address correspondence to Letters to the Editor, The
Battalion, Room 216, Reed McDonald Building, College
Station, Texas 77843.
Represented nationally by National Educational Adver
tising Services, Inc., New York City, Chicago and Los
Angeles.
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The Battalion is published Monday through Friday from
September through May except during exam and holiday
periods and the summer, when it is published on Tuesday
through Thursday.
Mail subscriptions are $16.75 per semester; $33.25 per
school year; $35.00 per full year. Advertising rates furnished
on request. Address: The Battalion, Room 216, Reed
McDonald Building, College Station, Texas 77843.
United Press International is entitled exclusively to the
use for reproduction of all news dispatches credited to it.
Rights of reproduction of all other matter herein reserved.
Second-Class postage paid at College Station, TX 77843.
MEMBER
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Southwest Journalism Congress
Editor KimT' :
Managing Editor LizN^ !
Assistant Managing Editor .Andy Wilte
Sports Editor Davie
City Editor Jamie Aitf
Campus Editor Stevel 1
News Editors Debbie PanP
Beth Calhoun
Staff Writers Karen Rogers, M
Patterson, Scott PendleK
Sean Petty, Michelle Scudi
Diane Blake, Lee Roy Lesdif
Jr., Dillard Stone
Cartoonist Doug Grafc
Photographers Ed Cum®
Lynn Blanco
Focus section editor Gary Wei
Opinions expressed in The Battalion are
those of the editor or of the writer of the
article and are not necessarily those of the
University administration or the Board of
Regents. The Battalion is a mni-profil./
supporting enterprise operated bij shiib'
as a university and coiwnunity iwicum*
Editorial policy is determined by the al'M
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