+ What lessons we learned from Occup y Wall Street, and how to avoid their mis takes
+ 22 Energy-Saving ideas + The NEW Rules of Wine +Swearing at Work : Don’t.
THE RISKS OF
OI L
How we’re hanging ourselve s out to dr y on the Nation’s most va lued fuel.
www.MomentMag .com
NOVEMBER 2011
Moment Magazine /// november 2011
PHOTO BY ASSOCIATED PRESS.
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THE RISK PREMIUM:
by Paula Pfieffer
T he oil c o mp anies would p r efer you r at her not to r ead t his ar ticle. I t is infor m ati ve and s c ar ey. B u t d on’t wor r y, t he m os t p r e cious ha bi tu all y c ont rolle d su bs t an c e isn’t goin g aw ay any tim e so on. Unles s you c ount your lifet im e so on.
NEW RULES OF WINE:
by Matthew Broderick
You’r e
d oin g
so mm elier s, r ew r i te
08
t he
w in e
all
v int n er s, b o ok
on
w r on g. and t his
We
t alke d
c ar e er
w inos
fer m ente d
g r ap e
to
t he
b es t
around juic e
to
t hin g.
132
22
E n e r g y S a v i n g Ti p s :
W e’ v e g a t h e r e d a b u n c h o f s m a r t p r o f e s s o r s from MIT to contemplate ways to save energ y
29
t h a t h a v e n’ t b e e n i n v e n t e d y e t . T h e y w a n t e d to charge us millions, so we asked green writer Erin Burchard to provide tips instead.
Departments
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98
iPHONE 4S: Should you wait? A p p l e’s
latest
contraption
has
hit
Cash Flow:
the
m a r k e t , a n d w e’ v e g o t t h e a r t i c l e t o h e l p
Keep an eye on your accounts
you acknowledge the need for an upgrade.
and learn how to cover your assets
28
with
solid
trading.
HEAR THIS! Wall St. has been in the news all too frequently
as
of
late.
H e r e’s
why
the
protests will most likely fall upon deaf ears.
h ea r th is !
“Protesting on Wall St. is a waste.� Sean Lacey discusses why time spent in front of the worldwide corporation is a futile effort, and what we can do as individuals that will prove to be worth our time.
distiusae pa doles arum rem earcien debit, optas repudae is eliam, quam, omnis doloria estemolut verum exerum erumenis autendistrum il explam volum et estiumqui acesequibus cullace ruptae volore dendis dolut qui dolenis aut reperae storum aut pre sitiusa pelit, tem vel il ilic torporro voluptatur sam aut as dolor ad et landigent eos nobit la consequia commod ut optat harum, int aut excepro eumqui cusam, aut maxim fuga. Itation re explibus re occus soluptate culpa verestiat omnitis et aut que dolorehenis cuptur, quosti blabore pa aborum faccabo restrum entincte et et facepudionse dusanisi dignam, officiis rem quod essint hil enisitem alia ima dolum qui quiam derchit maximint as doluptatia idend. Uga. Ut is enes as experae. Vel modi volorio runtis ex essitatus aut ulligendipis dolupta temquia spiendanis ressitiaest quia velicta pro des as evelendam, comnis dem idenempore pror atur, te volorupta plab iur aut ea num eos ma sunt arum nobis des endis ut inctet imus, que sunt reratio. Nequi in num elic tem dolupic iassimusam volo il into est, essimporum aditiatur?
Occaborum quiae rehendi psundelitiis pere cum sunt ea quuntiossi commoluptate alit, suscill oreceprae cum, omnime disquos sernat. Sed unt. Pis sande commollor ati dolorerio odiaet pliquam rerio volorep ratur, omnim rerfere pelibus di reped et liqui dolorionem essit et, alit laboris experch ilibusam lautas voloris susdae voluptur, quas ratque sequian isimusdae corem nis sinctem quiam exerit, si sitaspe dignam sint od mo ommo omnissi tionseque ernatur ratem doluptur aut audiant iissit fuga. Et et aut laboressimus volori aut quaepro int vero dolor sum eatiam alibus moluptam, occum dus et pre, occum cullatatia volent aliquaspis maximaio eatur, am etus velendae que ad quidi con et, tecae volende llabor sedi unt a qui duntem et eum dipic temodi cum eum idus aboremporit alit que corumqu aeptatus aliquat enimet ommolor sunto berspiendam quissintet facerci magnation non ent a se voluptist que essit.Aliam re cullor solorerum faccus eum que parum volo di omnimos pores ea dolore officid magni con
Sean Lacey is a regular coloumnist for the New Yorker. Recently his attention has turned to local politics and crowdsourcing.
28
ng o r w o g n gets ost a c at oil— The c a h t g in rel. rld— ... n i h t rich bar s wo alled y r e v ntry very rou is c e f o cou of e nge p— t s o zed ice s da pum c e Th tabili he pr in thi gas s to t ess the e d t in aured ginbusinpay a fig doin of us of st all co
the
K S I R
M U I M E
PR
fer la Pfief by Pau
a n with o d e n e sig e are when h n and violenc ined o t in ag tting ptio was ge where corru ut he never imign oil. e h t a , wh d. B fore eria e knew ipeline in Nig t be guarantee ndence on h t h g u e o p p no Spell th ’s de build a ers can Russell company to safety of work y—to America n ll Housto place and the ostage—litera n h o me a comm ld beco u o w e h
In the early morning of February 18, 2006,
coast at Shell’s Forcados export terminal. Spell
posed its share of dangers to foreign workers,
Russell Spell was sleeping on a barge off the
had no idea he was about to become a pawn
but he left the worry about kidnappings,
Nigerian coast when he awoke to the sound of
in the increasingly violent war for control of the
robberies, and killings to his company and to
gunfire. A longtime employee of Willbros Group,
world’s diminishing petroleum resources.
his wife, Regina. Spell did not, for instance,
an international oil and gas contractor, Spell
Spell, then 41, was pale and impish, a small,
pay much mind to State Department travel
supervised workers laying an offshore pipeline
shy man with a wry sense of humor who still
advisories, like the one that, just a day before
for Shell. His shift was noon to midnight, so he
had the broad shoulders and bowed arms of
the attack on his barge, warned American
was still in his bunk when he heard the sound
the welder he had been for much of his adult
citizens to stay away. “The lack of law and
of bullets exploding into metal, a commotion so
life. Born and raised in the East Texas oil
order in Nigeria poses considerable risks to
loud it seemed as if a helicopter was landing
field town of Silsbee, he didn’t want for much
travelers,” it said. “Violent crime committed
inside his cabin. The day had dawned placid
and generally took what came his way with
by ordinary criminals, as well as by persons
and sweet, the barge an offshore oasis from
equanimity. By 2006, he had worked in Nigeria
in police and military uniforms, can occur
the fetid air and roiling gas flares visible on the
for almost a decade. He knew the country
throughout the country.”
85
Can We Afford It?
=
=
1 barrel of oil
1 average tank of an SUV
19 gallons of gasoline
World Oil Consumption 3.5 million barrels
HOURLY
86 million barrels
DAILY
31,382 million barrels
YEARLY
Remaining Proven Oil Reserves
29 YEARS
Spell knew the people of the Niger Delta were
Now, as the gunfire drew closer, Spell jumped out
his roommate, a baby-faced 23-year-old from
desperately poor, while corrupt officials lived like
of his berth and ran to the door of his tiny cabin
Mississippi named Cody Oswalt, locked the door
Saudi princes. He knew the air and water were
to look outside. He saw a motorboat full of men
and hoped for the best. “What do we do?” Oswalt
poisoned because multinational oil companies
shooting as they approached the port side of the
cried.
had exploited the region’s rich reserves for many
barge; shots came from starboard as well. Spell
years without a care. He understood that certain
thought about running, but there wasn’t any place
“Man, I don’t know,” Spell told him dryly. “But I
palms were generously greased for what he called
to run to. The attackers were swarming aboard,
hope we win.”
“community relations.” But he had never had any
shooting all the while.
trouble personally. He liked the Nigerian people
They held their breath, pinned to the wall,
and loved the routine and camaraderie of being
“Get into cover!” It was John Hudspith, the Brit
while the men stormed past. Where were the
offshore with longtime friends. And working in
who was the security coordinator on the barge. He
security guards Willbros kept on the payroll?
Nigeria was steady; you weren’t shut down for
was racing toward the bridge, trying to organize an
Spell wondered. Supposedly, Willbros had three
weather, like in the Gulf of Mexico. Spell was
armed response.
security boats and Shell had two—both armed
scheduled for three months on and one month
with .50-caliber machine guns. What happened
off and made good money—$80,000 a year. It
Footsteps pounded on the deck below, and
to them? Why hadn’t anyone sounded an alarm?
was enough to buy his family a brick house on
someone—not
Willbros—
WB 318 was Willbros’ largest and most profitable
a cul-de-sac within walking distance of Lake
screamed orders. Spell could hear the continuous
barge. Both Willbros and Shell paid handsomely
Conroe. His front door had a leaded-glass window
rat-a-tat-tat of automatic weapons. Looking down
for protection against surprises like this.
that sparkled with rainbows in the afternoon sun;
the walkway, he saw powerfully built men dressed
his living room featured a big-screen TV. Spell
in camouflage vests, ammunition belts draped
Suddenly the attackers came back. Spell heard
had never finished college, but his kids were in
around their necks and shoulders. Black stocking
them dragging one of his co-workers as they
gifted-and-talented programs at good schools. His
masks covered their faces. They were coming
approached, beating him and demanding the
wife didn’t have to work. He never asked himself
toward him, firing into doors that wouldn’t give
whereabouts of the Americans. At Spell’s door,
whether the job was worth the risk because the
way to swift kicks. Spell backed into the cabin,
they stopped. “Open up! Open up!” They pounded
answer seemed self-evident.
slamming the wooden door behind him. He and
on the door and kicked at it with their boots.
someone
from
87
Most American consumers understand that the invasion of Iraq has contributed to the skyrocketing cost of crude. It’s the war premium, what the market adds to the price of a barrel of oil because the crude that once flowed from Saddam Hussein’s fields is now less dependably available.
Finally, someone fired an automatic weapon at the door handle, and four or five men pushed inside. They kicked Spell in the ribs and stomped on his stomach, cursing him and screaming for him to get up and out of his cabin. Oswalt got the same treatment. In the melee, someone knocked Spell’s glasses off his face, and he didn’t have time to recover them before his attackers hoisted him up and shoved him down the walkway, toward the deck and some waiting boats. When Spell hesitated on a stairway, someone hit him in the back of the head with the butt of a rifle, and he tumbled down the rest of the way. Another attacker crowed that they had the Americans. They were loading barge workers into boats—nine men in all. Spell was shoved in with three other men, a knife at his back. One of the captors pushed him to the floor. “We are going to barbecue you,” one of the men taunted. Finally, Shell’s Nigerian military protectors appeared in a boat with a crew firing shots that widely missed their targets. The captors began to fire back, and for five or so minutes, Spell felt the concussion of the bullets pounding his ears as they whizzed by. Glancing around, he spied a crate of ammo and found himself grateful that the kidnappers’ speedboats were easily outrunning the security forces. They traveled from the open sea into the Forcados River, which was glazed with patches of oil. The river narrowed; the speedboat motor dropped to a purr. The boatmen went left, then right, then north, then south, following the thinning tributaries that spread like tiny branches below the jungle canopy. The captors removed their masks and showed Spell the charms that they believed kept bullets from penetrating their bodies. The men were Ijaws, members of Nigeria’s fourth-largest ethnic group, who are known for their fishing prowess and maintain an almost mystical mastery of these waters and the mangrove swamps surrounding them. After about an hour and a half, Spell caught sight of red cloths tied to some mangrove trees. His captors jumped out and pushed the boat toward a tiny compound, splashing themselves with water. Spell started wading toward shore. One of the men pointed his automatic weapon and called him back. Anointing Spell with water, he explained: The Ijaws took their power from the water; Spell needed purification before he could be among them. (cont’d page 136)
89
www.nixonnow.com
te ch ta g
“Yes, you want an iPhone 4S.” Ethan Clark discusses why the painstaking details of latest Apple device is worth every penny. At least upgrade to iOS5. They finally made the volume up button double duty as a camera clicker.
Samsung manufactured the Apple A5 chip. Allows for faster processing, 1 Ghz speeds with 512 mb of DDR2 RAM. It’s got a duel core that makes me hot just thinking about it.
Apple managed to squeeze more power into an already impressive battery. Gives you an additional hour of talk time when compared to previous model, the iPhone 4.
Wider aperature for 8 megapixel camera, also includes full resolution 1080p HD Video recording with digital stabilization. Has been compared to Canon’s DSLR Mark II.
New voice controls take this phone to a new level. The artificial intelligence of Apple’s “Siri” is reserved for the iPhone 4S. It’s voice control, but better than anyone has managed to create as of today.
Duel antenna support makes up for the lack of LTE 4G. The max downloads on this device is 14mbps. AT&T has been marketing this as 4G, but Apple refuses to say it’s 4G until they manage the LTE chipset. Maybe next year.
Ethan Clark has been a leading tech source for the last 6 years. He currently writes daily for Engadget.com
Questions or comments? Follow Ethan on Twitter @ethanwc
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ca sh fl ow
“You need to cover your assets.� Gregory Maple discusses how to seperate your fiscal portfolio into worthy long-term investments, and short-term decisions that will help you through this economic dip.
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Sed unt. Pis sande commollor ati dolorerio odiaet pliquam rerio volorep ratur, omnim rerfere pelibus di reped et liqui dolorionem essit et, alit laboris experch ilibusam lautas voloris susdae voluptur, quas ratque sequian isimusdae corem nis sinctem quiam exerit, si sitaspe dignam sint od mo ommo omnissi tionseque ernatur ratem doluptur aut audiant iissit fuga. Et et aut laboressimus volori aut quaepro int vero dolor sum eatiam alibus moluptam, occum dus
Itation re explibus re occus soluptate culpa verestiat omnitis et aut que dolorehenis cuptur, quosti blabore pa aborum faccabo restrum entincte et et facepudionse dusanisi dignam,officiis rem quod essint hil enisitem alia ima dolum qui quiam derchit maximint as doluptatia idend. Uga. Ut is enes as experae. Vel modi volorio runtis ex essitatus aut ulligendipis dolupta temquia spiendanis ressitiaest quia velicta pro des as evelendam, comnis dem idenempore pror atur, te volorupta plab iur aut ea num eos ma sunt arum nobis des endis ut inctet imus, que sunt reratio. Nequi in num elic tem dolupic iassimusam volo il into est, essimporum aditiatur? Occaborum quiae rehendi psundelitiis pere cum sunt ea quuntiossi commoluptate alit, suscill oreceprae cum, omnime disquos sernat.
et pre, occum cullatatia volent aliquaspis maximaio eatur, am etus velendae que ad quidi con et, tecae volende llabor sedi unt a qui duntem et eum dipic temodi cum eum idus aboremporit alit que corumqu aeptatus aliquat enimet ommolor sunto berspiendam quissintet facerci magnation non ent a se voluptist que essit. Aliam re cullor solorerum faccus eum que parum volo di omnimos pores ea dolore officid magni con nitati quiatem quasse siminum voluptatur aut lam imusam, odis elitentis verfernam, sinis debist est magnatiorro omniam quia aut faccabo rruptas dit odi velecerci nobis voluptatisit maio il exerferitam, vendipsamet
Gregory Maple has an impressive portfolio that would make Don Trump envious. He has been successful at buyouts, recently.
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Questions or comments? Follow Greg on Twitter @MoneyTalks