Main


August 25, 2013

Dubai Has Strong Ruling Clan, But Weak Institutions



DubaiBK2013-08-12.jpg
















Source of book image: http://www.christopherdavidson.net/sitebuilder/images/DVOS_cover-210x300.jpg



(p. 4) For Mr. Davidson, Dubai's greatest weakness lies in its autocratic governing system. Politics in the emirate, as in most of the Middle East, pivots not on institutions but on clans -- a ruling dynasty and its favorites who own and run Dubai in opaque fashion.

True enough, but most of the Middle East is authoritarian, yet Dubai's enlightened despotism and welcoming social environment have stood out for fostering economic advance. Like China, albeit on a tiny scale, Dubai is engaged in an experiment of economic liberalization without political democracy.

Mr. Davidson further contends that unstable neighbors threaten Dubai's success, but here he may have matters reversed. When Egypt and Iran stifle their entrepreneurs, many of them find a wide berth in Dubai. When Saudi Arabia imposes cultural restrictions on its population, Dubai offers a place to drink and let loose. When India and Pakistan have trouble creating jobs for their large populations, Dubai absorbs labor migrants. When Iraq or Lebanon descends into war, Dubai profits from rebuilding them.

In short, until a vast arc of countries from East Africa to Southeast Asia changes substantially, Dubai will remain poised to benefit by providing a relatively open, secure, low-tax, business-friendly alternative.



For the full review, see:

STEPHEN KOTKIN. "OFF THE SHELF; The Glittering Emirate, Revisited." The New York Times, SundayBusiness Section (Sun., December 7, 2008): 4.

(Note: the online version of the review has the date December 6, 2008, and the title "OFF THE SHELF; Dubai, the Glittering Emirate, Revisited.")


The book under review, is:

Davidson, Christopher M. Dubai: The Vulnerability of Success. New York: Columbia University Press, 2008.






June 18, 2013

Heart Disease Affected Ancients Who Differed in Culture, Class and Diet



EgyptologistPreparesMummy2013-06-16.jpg "Egyptologist Dr. Gomaa Abd el-Maksoud prepares the mummy Hatiay (New Kingdom, 18th Dynasty, 1550-1295 BCE) for scanning. Hatiay was found to have evidence of extensive vascular disease." Source of caption and photo: online version of the WSJ article quoted and cited below.



(p. A4) SAN FRANCISCO--It turns out there is nothing new about heart disease.

Researchers who examined 137 mummies from four cultures spanning 4,000 years said Sunday they found robust evidence of atherosclerosis, or hardening of the arteries, challenging widely held assumptions that cardiovascular disease is largely a malady of current times.

An international research team of cardiologists, radiologists and archeologists used CT scanners to evaluate the mummies, hunting for deposits of calcium in arterial walls that are a telltale sign of hardening of the arteries that can lead to heart attacks and strokes. They found that 47, or 34%, of the mummies had such deposits, suggesting, they said, that cardiovascular disease was more common in historic times than many experts think.


. . .


The same researchers reported similar findings in 2009 from Egyptian mummies. Because those specimens were believed to have been from the upper echelons of society, the researchers surmised their calcified arteries could have developed from high-fat diets. But by expanding the research to other cultures, including Puebloans of what is now the U.S. Southwest, the researchers believe all levels of society were at risk, regardless of diet.



For the full story, see:

RON WINSLOW. "U.S. NEWS; Telltale Finding on Heart Disease." The Wall Street Journal (Mon., March 11, 2013): A6.

(Note: the online version of the story has the date March 10, 2013.)






March 19, 2012

"No Street Protester Has Yet Endowed a University Department"



AmericanEgyptologistBK2012-03-08.jpg











Source of book image: online version of the WSJ review quoted and cited below.







(p. A13) Over the next three decades, Breasted would excavate a series of sites in Egypt, the Sudan and the Near East. He would also develop an important ability to identify rich and influential benefactors and to gain their confidence without resorting to sycophancy. . . . Notable among the Maecenas figures he cultivated was John D. Rockefeller.

Rockefeller had been an early patron of the University of Chicago; he might have done something for Near Eastern studies in any case, but it is clear that without Breasted's energy and enthusiasm, Rockefeller's scholarly philanthropy would never have taken the course it did. Eventually, he provided the funding for an entire Oriental Institute in 1931. (The OI, as it is affectionately known, had existed from 1919 but essentially as a concept between academic committees.) Together with its Egyptian offshoot, Chicago House, the OI is perhaps the leading center of Egyptology and Assyriology in the world. At the moment, on both sides of the Atlantic, we are hearing a lot about the evils of bankers and capitalism, but as far as I know no street protester has yet endowed a university department.



For the full review, see:

JOHN RAY. "BOOKSHELF; From Illinois To Mesopotamia; Excavating sites in Egypt and the Near East, writing groundbreaking books and developing a talent for courting wealthy donors." The Wall Street Journal (Thurs., February 23, 2012): A13.

(Note: ellipsis added.)


Book under review:

Abt, Jeffrey. American Egyptologist: The Life of James Henry Breasted and the Creation of His Oriental Institute. Chicago: University of Chicago Press, 2012.






July 2, 2011

Partage Provides Incentives to Recover Antiquities and the Means to Preserve Them



WhoOwnsAntiquityBK2011-06-05.gif
















Source of book image: http://press.princeton.edu/images/k8602.gif





(p. D1) In some cases, it makes aesthetic or archaeological sense to keep artifacts grouped together where they were found, but it can also be risky to leave everything in one place, particularly if the country is in turmoil or can't afford to excavate or guard all its treasures. After the Metropolitan Museum was pressured to hand over a collection called the Lydian Hoard, one of the most valuable (p. D2) pieces was stolen several years ago from its new home in Turkey.


. . .


(p. D2) In his book "Who Owns Antiquity?", James Cuno argues that scholars have betrayed their principles by acquiescing to politicians who have exploited antiquities to legitimize themselves and their governments. Saddam Hussein was the most blatant, turning Iraqi archeology museums into propaganda for himself as the modern Nebuchadnezzar, but other leaders have been just as cynical in using antiquities to bolster their claims of sovereignty.

Dr. Cuno advocates the revival of partage, the traditional system in which archeologists digging in foreign countries would give some of their discoveries to the host country and take others home. That way both sides benefit, and both sides have incentives to recover antiquities before looters beat them to it. . . .

As the director of the Art Institute of Chicago, Dr. Cuno has his own obvious motives for acquiring foreign antiquities, and he makes no apology for wanting to display Middle Eastern statues to Midwesterners.

"It is in the nature of our species to connect and exchange," Dr. Cuno writes. "And the result is a common culture in which we all have a stake. It is not, and can never be, the property of one modern nation or another."

Some of the most culturally protectionist nations today, like Egypt, Italy and Turkey, are trying to hoard treasures that couldn't have been created without the inspiration provided by imported works of art. (Imagine the Renaissance without the influence of "looted" Greek antiquities.) And the current political rulers of those countries often have little in common culturally with the creators of the artifacts they claim to own.



For the full commentary, see:

JOHN TIERNEY. "FINDINGS; A Case in Antiquities for 'Finders Keepers'." The New York Times (Tues., November 17, 2009): B6.

(Note: ellipses added.)

(Note: the online version of the commentary is dated November 16, 2009.)


The Cuno book discussed above, is:

Cuno, James. Who Owns Antiquity?: Museums and the Battle over Our Ancient Heritage. Princeton, NJ: Princeton University Press, 2008.






April 27, 2011

45% of Mummies Had Heart Disease



MummyCTscan2011-04-25.jpg
"A mummy enters the CT scanner at St. Luke's Hospital in Kansas City, Mo. It was one of 52 mummies examined for signs of heart disease." Source of caption and photo: online version of the Omaha World-Herald article quoted and cited below.



(p. 6A) Atherosclerosis -- hardening of the arteries -- was surpris­ingly widespread during an­cient times, at least among the Egyptian mummies examined by an international team of sci­entists and heart specialists.

Their research, whose re­sults were presented April 3 in New Orleans at the annual meeting of the American Col­lege of Cardiology, found that 45 percent of the mummies they put through CT scans had signs of atherosclerosis.

That raises questions about whether hardening of the arter­ies is the modern disease that many think it is.

"We found it so easily and frequently that it appears to have been common in this soci­ety," said Randall Thompson, a cardiologist at St. Luke's Hospi­tal in Kansas City.



For the full story, see:

MC CLATCHY NEWSPAPERS. "Hardened Arteries Go Back Centuries." Omaha World-Herald (Mon., April 18, 2011): 6A.





March 6, 2011

What a Picture Is Worth



AppleLaptopEgyptianYouths2011-02-28.jpg"In Cairo, Egyptian youths used laptops to post video they had shot earlier Tuesday in Tahir Square. The group has been collecting accounts of the demonstrations and voices of the protesters, putting them on social networking sites like Facebook and Twitter." Source of caption and photo: online version of the NYT article quoted and cited below.


The photo above was at the top of the first page of the New York Times on Weds., Feb. 9, 2011. You have a group of lively, engaged, young people intoxicated with the idea that they may be helping to bring their country freedom. And in the center of the dark picture, amidst the conversations, is one youth looking with concentration at an Apple laptop, the sole source of color and illumination.

If I was Steve Jobs, I would value this one photo at more than a whole hour's worth of Superbowl ads.


The photo above was placed above the following story on the front page of the NYT:

DAVID D. KIRKPATRICK. "As Egypt Protest Swells, U.S. Sends Specific Demands." The New York Times (Weds., February 9, 2011): A1 & A12.

(Note: the online version of the article is dated February 8, 2011.)





December 30, 2010

Modern Lifestyles May Not Be Cause of Heart Disease



MummyCTscan2010-12-21.jpg"MODERN MEETS ANCIENT. CT scans of some Egyptian mummies, like the one being done on this priest, reveal signs of atherosclerosis." Source of caption and photo: online version of the NYT article quoted and cited below.


(p. D6) . . . a team of cardiologists used CT scanning on mummies in the Egyptian National Museum of Antiquities in Cairo to identify atherosclerosis -- a buildup of cholesterol, inflammation and scar tissue in the walls of the arteries, a problem that can lead to heart attack and stroke.

The cardiologists were able to identify the disease in some mummies because atherosclerotic tissue often develops calcification, which is visible as bright spots on a CT image. The finding that some mummies had hardened arteries raises questions about the common wisdom that factors in modern life, including stress, high-fat diets, smoking and sedentary routines, play an essential role in the development of cardiovascular disease, the researchers said.

"It tells us that we have to look beyond lifestyles and diet for the cause and progression of this disease," said Dr. Randall C. Thompson, a cardiologist at St. Luke's Mid America Heart Institute in Kansas City, Mo., and part of the team of cardiovascular imaging specialists who traveled to Cairo last year. "To a certain extent, getting the disease is part of the human condition."



For the full story, see:

NATASHA SINGER. "Artery Disease in Some Very Old Patients." The New York Times (Tues., November 24, 2009): D6.

(Note: ellipsis added.)

(Note: the online version of the review has the date November 23, 2009.)






December 24, 2010

A Late Bronze Age "Cornucopian Example of Multiculturism"



BronzeAgeContainer2010-12-20.jpg"Influences from Egypt and Mediterranean Asia appear to merge in this container, from around 1390 to 1352 B.C." Source of caption and photo: online version of the NYT article quoted and cited below.



The cultural flowering (see above and below) brought about by Late Bronze Age Mediterranean trade, is highly compatible with arguments made in Tyler Cowen's Creative Destruction, which argues that capitalism promotes the important kind of diversity that within cultures increases creativity and options for individual choice.

It would be interesting and useful to know more about the causes and effects of the dark age mentioned below--the one that started around 1200 BC. An earlier entry mentioned archeological evidence of a small family group near Katilimata on Crete who attempted to hunker down to defend themselves and their property from the invaders from the sea mentioned below.

Sometimes the Phoenicians are given credit for the trade, and Paul Johnson in his recent Heroes book (p. 4), identifies the evil invaders who killed the trade as being the Philistines.


(p. C28) For a truly cornucopian example of multiculturalism, though, nothing matches the contents of the Late Bronze Age merchant ship recovered from the sea off the southern coast of Turkey. Discovered by a sponge diver in 1984 and considered the oldest surviving example of a seagoing ship, it probably sank around 1300 B.C., packed with cargo representing a dozen cultures, from Nubia to the Balkans.

Although the ship's home port is unknown, it appears to have traveled a circular route through the Mediterranean and Aegean, stopping in Greece, Crete, Turkey, Syria and Egypt, picking up and unloading as it went. Bulk materials included copper ingots, Cypriot pottery, African wood and Near Eastern textiles, all for waiting markets.

Divers also found luxury items, possibly personal possessions of the ship's crew and passengers. Examples of ivory containers in the form of ducks have parallels with Egyptian prototypes, but were probably made in Mediterranean Asia. The two sources merge in a figure found in a tomb: a nude female swimmer with a chic, Nile-style pageboy who is hitching a ride behind an ivory-headed bird.

More precious and enigmatic is a standing bronze figure of a woman, probably a goddess, her head and face still covered with the sheet gold that may once have encased her whole body in a radiant epidermis. The exhibition catalog suggests that she might be a talismanic charm intended to protect the ship from harm.

Harm came anyway, as it did to much of the Mediterranean world, around 1200 B.C. with the arrival of mysterious, sea-based invaders, who conquered most of the great maritime cities, interrupting trade and easy cultural exchange, and bringing on a dark age, a depression. The depression -- or was it severe recession? -- didn't last forever. The passion for acquisition, exchange and accumulation survived it, as it always does.

This passion is, of course, our own. It is one reason that we can, if we try, identify with the diverse people who, thousands of years ago, made the objects in this show. The globalist, all-in-it-together world model they invented is another reason. Their dark age could be one too.



For the full review, see:

HOLLAND COTTER. "Art Review; 'Beyond Babylon'; Global Exchange, Early Version." The New York Times (Fri., November 21, 2008): C23 & C28.

(Note: the online version of the review has the date November 20, 2008.)



The Cowen book mentioned in my initial comments, is:

Cowen, Tyler. Creative Destruction: How Globalization Is Changing the World's Cultures. Princeton, NJ: Princeton University Press, 2002.



The Paul Johnson book mentioned in my initial comments, is:

Johnson, Paul M. Heroes. New York: HarperCollins, 2007.





January 5, 2010

Heart Disease Is Not Just a Malady of Modern Societies, But "Is Part of the Human Condition"



MummyScanHeartDisease2009-12-21.jpg"Scientists scanned 20 mummies, and examined scans of two more, for the study." Source of caption and photo: online version of the WSJ article quoted and cited below.


(p. A5) ORLANDO, Fla. -- Researchers said they found evidence of hardening of the arteries in Egyptian mummies dating as far back as 3,500 years, challenging longstanding assumptions that cardiovascular disease is mainly a malady of modern societies.

A team of heart-imaging experts and Egyptologists examined 22 mummies from the Egyptian National Museum of Antiquities in Cairo in a CT scanning machine, looking for evidence of calcium buildup that could indicate vascular disease.

They were able to identify the hearts, arteries or both in 16 of the mummies, nine of whom had deposits of calcification. An analysis determined the deposits were either definite or probable evidence of atherosclerosis, the condition that leads to heart attacks and strokes.

"Not only do we have atherosclerosis now, it was prevalent as long as 3,500 years ago," said Gregory Thomas, a cardiologist and imaging specialist at University of California, Irvine, who was principal investigator of the study. "It is part of the human condition."

The research was presented Tuesday at the American Heart Association scientific meeting here. A report is also scheduled to appear in Wednesday's issue of the Journal of the American Medical Association.




For the full story, see:

RON WINSLOW. "Heart Disease Found in Egyptian Mummies." The Wall Street Journal (Weds., NOVEMBER 18, 2009): A5.

(Note: the online version of the article has a date of NOVEMBER 19, 2009 and is titled "Heart Disease Found in Egyptian Mummies.")





April 17, 2008

"Frustration Opens the Door to Religiosity"


SayyidPrayingCairoMosque.jpg "Ahmed Muhammad Sayyid, center, praying at a Cairo mosque, has drawn religion closer after many disappointments." Source of caption and photo: online version of the NYT article quoted and cited below.


(p. 1) Here in Egypt and across the Middle East, many young people are being forced to put off marriage, the gateway to independence, sexual activity and societal respect. Stymied by the government's failure to provide adequate schooling and thwarted by an economy without jobs to match their abilities or aspirations, they are stuck in limbo between youth and adulthood.

"I can't get a job, I have no money, I can't get married, what can I say?" Mr. Sayyid said one day after becoming so overwhelmed that he refused to go to work, or to go home, and spent the day hiding at a friend's apartment.

In their frustration, the young are turning to religion for solace and purpose, pulling their parents and their governments along with them.

. . .

The wave of religious identification has forced governments that are increasingly seen as corrupt or inept to seek their own public redemption through religion.

. . .

(p. 11) Depression and despair tormented dozens of men and women in their 20s interviewed across Egypt, from urban men like Mr. Sayyid to frustrated village residents like Walid Faragallah, who once hoped education would guarantee him social mobility. Their stifled dreams stoke anger toward the government.

"Nobody cares about the people," Mr. Sayyid said, slapping his hands against the air, echoing sentiment repeated in many interviews with young people across Egypt. "Nobody cares. What is holding me back is the system. Find a general with children and he will have an apartment for each of them. My government is only close to those close to the government."

. . .

Mr. Sayyid's path to stalemate began years ago, in school.

Like most Egyptians educated in public schools, his course of study was determined entirely by grades on standardized tests. He was not a serious student, often skipping school, but scored well enough to go on to an academy, something between high school and a university. He was put in a five-year program to study tourism and hotel operations.

His diploma qualified him for little but unemployment. Education experts say that while Egypt has lifted many citizens out of il-(p. 12)literacy, its education system does not prepare young people for work in the modern world. Nor, according to a recent Population Council report issued in Cairo, does its economy provide enough well-paying jobs to allow many young people to afford marriage.

Egypt's education system was originally devised to produce government workers under a compact with society forged in the heady early days of President Gamal Abdel Nasser's administration in the late 1950s and '60s.

Every graduate was guaranteed a government job, and peasant families for the first time were offered the prospect of social mobility through education. Now children of illiterate peasant farmers have degrees in engineering, law or business. The dream of mobility survives, but there are not enough government jobs for the floods of graduates. And many are not qualified for the private sector jobs that do exist, government and business officials said, because of their poor schooling. Business students often never touch a computer, for example.

On average, it takes several years for graduates to find their first job, in part because they would rather remain unemployed than work in a blue-collar factory position. It is considered a blow to family honor for a college graduate to take a blue-collar job, leaving large numbers of young people with nothing to do.

"O.K., he's a college graduate," said Muhammad el-Seweedy, who runs a government council that has tried with television commercials to persuade college graduates to take factory jobs and has provided training to help improve their skills. "It's done. Now forget it. This is a reality."

But more widespread access to education has raised expectations. "Life was much more bearable for the poor when they did accept their social status," said Galal Amin, an economist and the author of "Whatever Happened to the Egyptians?" "But it is unimaginable when you have an education, to have this thought accepted. Frustration opens the door to religiosity."


For the full story, see:

MICHAEL SLACKMAN. "Generation Faithful; Dreams Stifled, Egypt's Young Turn to Islamic Fervor." The New York Times, First Section (Sun., February 17, 2008): 1 & 11-12.

(Note: ellipses added.)


YoungAndJoblessMapGraph.jpg Source of graphic: online version of the NYT article quoted and cited above.





November 12, 2007

Strong Global Support for Free Markets

 

FreeMarketsPositiveViewTable.gif   Source of table:  "World Publics Welcome Global Trade -- But Not Immigration." Pew Global Attitudes Project, a project of the PewResearchCenter. Released: 10.04.07 dowloaded from: http://pewglobal.org/reports/display.php?ReportID=258

 

(p. A10) WASHINGTON, Oct. 4 — Buoyed and battered by globalization, people around the world strongly view international trade as a good thing but harbor growing concerns about its side effects: threats to their cultures, damage to the environment and the challenges posed by immigration, a new survey indicates.

In the Pew Global Attitudes Project survey of people in 46 countries and the Palestinian territories, large majorities everywhere said that trade was a good thing. In countries like Argentina, which recently experienced trade-based growth, the attitude toward trade has become more positive.

But support for trade has decreased in recent years in advanced Western countries, including Germany, Britain, France and Italy — and most sharply in the United States. The number of Americans saying trade is good for the country has dropped by 19 percentage points since 2002, to 59 percent.

“G.D.P. growth hasn’t been as dramatic in these places as in Latin America or Eastern Europe,” said Andrew Kohut, president of the Pew Research Center, referring to gross domestic product, the total value of the goods and services produced in a country. “But worldwide, even though some people are rich and some are poor, support for the basic tenet of capitalism is pretty strong.”

 

For the full story, see: 

BRIAN KNOWLTON. "Globalization, According to the World, Is a Good Thing. Sort Of."  The New York Times   (Fri., October 5, 2007):  A10. 

 




October 21, 2006

In Egypt: The Authorities Versus the Entrepreneur


  Cairo entrepreneur serves good food to willing customers.  Source of image:  online version of the NYT article quoted and cited below.


In The Other Path, Hernando de Soto wrote about how governments in much of the world make it nearly impossible for the poor to legally get a start as entrepreneurs.  Here is a perfect example of de Soto's point:


CAIRO, Oct. 2 — With his cart tucked beneath a highway overpass, just beside the railroad tracks and behind a parked taxi, Farouk Salem darted his eyes back and forth nervously as he awaited customers.

On most days, except during Ramadan, the sun has barely risen and worshipers are shuffling out of the nearby mosque after morning prayers as the first customers make their way to Mr. Salem.  A few quick flicks of a ladle, the shaking of a bottle or two, and breakfast is ready.

Mr. Salem sells ful, the fava bean stew that is a staple of Egyptian cuisine, as a cheap, hearty breakfast for just 20 cents.  But he is an unlicensed street vendor, one of the many hundreds of thousands of Egyptians who make their living in what economists here describe as Egypt’s informal work force:  selling, delivering, cooking, cleaning, serving, ferrying, shoeshining, anything that will provide income.

Dr. Rashad Abdou, a professor of economics at Cairo University, estimated that the informal sector might account for as much as 60 percent of Egypt’s economy.

“As long as I keep a low profile, they don’t bother me,” Mr. Salem said on a recent day, as his brother worked behind the parked metal cart, dishing out bowls of ful.  The police have forced him to move many times and have even confiscated his cart.  But it is hard to keep a really low profile when the food is good and the prices are cheap.

As the sun began to heat up the morning air, customers showed up in a steady stream, some still in their pajamas.

“It’s good,” said Muhammad Abbadi.  “It’s clean.  And the most important thing is it’s cheap.  We are poor.  You see how poor we are in Egypt.”

. . .

“If the authorities want to chase me away, they will do it,” he says, his face tight and nervous.  “If they want to put me in prison, they can.  If they want to take my cart away, they can.”

He walked over to get some more bread as Muhammad kept ladling.

 

For the full story, see:

MICHAEL SLACKMAN.  "CAIRO JOURNAL; A Hand on the Ladle, and an Eye Out for the Law."  The New York Times (Tues., October 3, 2006):  A4.

(Note: ellipses added.)

 

CairoFulFavaBeanStew.jpg  Ful is a fava bean stew that is popular in Cairo.  Source of image:  online version of the NYT article cited above.

 

The reference to the de Soto book is: 

Soto, Hernando de. The Other Path: The Invisible Revolution in the Third World. 1st ed: HarperCollins, 1989.

 




July 4, 2006

Entrepreneur Risks His Money; Government Risks Yours


KaiserGeorgeB.jpg George B. Kaiser.  Source of photo: http://www.forbes.com/finance/lists/10/2003/LIR.jhtml?passListId=10&passYear=2003&passListType=Person&uniqueId=OXNB&datatype=Person

 

(p. A1)  In 2002, Kathleen Eisbrenner, then an executive at El Paso Corp., spent months trying in vain to find a buyer for the company's novel technology for importing natural gas.

In February 2003, she left for a vacation in Cancun, convinced that El Paso would be forced to abandon the project.  As she sat on the beach one afternoon, she got a call on her cellphone.  A colleague had a message from an intermediary, who said he had an "interested buyer," identified only as a "Midwest billionaire."

"It's Warren Buffett calling," she recalls telling her husband as they clinked pina colada glasses together in celebration.  "I was absolutely sure."

But it wasn't Mr. Buffett.  It was another billionaire named George B. Kaiser. 

 . . .

(p. A6)  . . . , Ms. Eisbrenner called Nicolas Saverys, the chief executive of Belgium-based Exmar NV.  Exmar was building two of the new-style LNG vessels.  Ms. Eisbrenner gushed that there was a wealthy buyer.  Mr. Saverys was initially skeptical.  He changed his mind in late February 2003 after meeting Mr. Kaiser in New York.  "At last, I was talking to someone who was putting his own money at stake," he says.

Mr. Saverys sealed the relationship by presenting Mr. Kaiser with a box of pralines from Belgian chocolatier Pierre Marcolini at their second meeting.  Mr. Kaiser, an avowed chocoholic, returned the favor a couple of weeks later in Tulsa, giving Mr. Saverys a box of candy made by Christine Joseph, a Tulsa chocolatier who also was born in Belgium.

Convinced that Energy Bridge could work, Mr. Kaiser agreed to take over the business, closing the deal last December.  El Paso paid him $75 million; in return, he assumed a $120 million obligation to Exmar.  El Paso also agreed to pay to install the underwater pipeline connection that carries the gas from the ship to existing pipelines in the Gulf of Mexico.

The bulk of the $660 million Mr. Kaiser invested went to modify three specially equipped tankers and to charter them for 20 years.  If Energy Bridge opens on time in January, it will be at least two and a half years ahead of any new terminals being developed by other energy companies.  In addition, civic leaders in Massachusetts and Rhode Island, eager to keep LNG terminals and tankers far from the mainland, are encouraging Mr. Kaiser to build an offshore tanker-based project along the Atlantic coast of the U.S.

Mr. Kaiser, who declined requests for an interview but answered some questions by e-mail, concedes he doesn't like "taking a risk on an undemonstrated technology."  But he says that the chance to import natural gas quickly was "such an obvious and alluring business opportunity" that he felt compelled to get Energy Bridge into operation.  He's betting that new LNG-export facilities expected to come online next year in Egypt, Trinidad and Nigeria will create enough extra supply to provide him with ample LNG.

 . . .

He says he acquired Energy Bridge as a challenge.  "I don't gain much pleasure from personal expenditure or recognition," he wrote in an e-mail.  "And any gains I make from the enterprise will accrue to charity.  But I enjoy problem solving and I want to keep my brain active to forestall (or at least diminish) atrophy."

 

For the full story, see:  

Russell Gold.   "Liquid Assets: A Billionaire Takes a Gamble To Fix Natural-Gas Shortage; Mr. Kaiser Plans to Shift Processing Onto Tankers, Avoiding Terrorism Fears; A Deal Sealed With Sweets."  The Wall Street Journal  (Fri., July 23, 2004):   A1 & A6.

(Note: ellipses added.)




HP3D5006CropSmall.jpg


















The StatCounter number above reports the number of "page loads" since the counter was installed late on 2/26/08. Page loads are defined on the site as "The number of times your page has been visited."


View My Stats