Drug Cartels Get Big Oil Fever, China Caught in Cahoots

Mexico City Protest November 2014

It seems that the Mexican Drug Cartels have caught the same oil fever that many Americans have had since the days it was first discovered then subsequently drilled in Pennsylvania. Much more oil would be found near former Mexican territory in Texas, New Mexico and Louisiana.

In the same way that modern gangsters of the 1920s cornered a black market drug trade in alcohol during prohibition then moved on to legal fronts in Las Vegas gambling, New York/Chicago labor and construction and Los Angeles films; Mexican drug cartels have moved on to other less risky and equally lucrative rackets including illegal oil markets. Similar tactics have helped militant groups like ISIS (Islamic State) produce vast sums of wealth to further their cause in the Middle East. However, the cartels are more interested in money and power than in political and religious ideology. They are just as ruthless in their conquest.

In a discussion between Dr. Kent Moors on Money Morning, a financial publication, Moors described a $20 trillion money trail where the world players including China, Israel, Russia, India and Pakistan are scrambling for power and resources that may lead to wars between the various countries, particularly between India and Pakistan, where the "zero line" area near Kashmir is located. Part of the strategy in many of these nations is to weaken the U.S. dollar or to grab resources, hence the connection between cartels and the Chinese government.

Cartels have become increasingly efficient at nabbing oil from Pemex pipelines in key oil producing states and cities in Mexico, from the southern tip, all the way up through the popular "plaza" area that is constantly a battlefield for control by drug trafficking organizations. Criminals have come to prefer stealing domestic oil and selling it at a profit to the more dangerous trade of smuggling cocaine, heroin and other drugs to the United States. Vice News recently aired a video documentary on the development in Mexico.

Cartels have extorted oil company personnel as well, according to some reports. According to the China Economic Review and other sources, China has also been purchasing iron ore shipments from the drug cartels as well. It was reported that Mexico is cracking down on this problem, but Mexico's turmoil involving China is not nearly over. Recent news of 43 students captured by Mexican authorities then later found dead and chopped up have created an eruption of anger by demonstrators at the capital demanding to know what the government is going to do, as the police force involved is suspected to be linked to drug gangs. Students even captured police in the streets of the capital to make their point, according to reports. A photo has quickly circulated of masked demonstrators capturing the Mexican cop.

Image Credit: WikiMedia Commons, ProtoplasmaKid
Description: (English) Demonstrators in front off the National Palace of Mexico City Demonstration held in Mexico City from PGR offices to Zocalo demanding the safe return of the 43 Ayotzinapa Missing Students.
(Español) Marcha realizada en la Ciudad de México de las oficinas de la PGR al Zócalo en reclamo de la aparición con vida de los 43 normalistas de Ayotzinapa.