Why Oil Still Controls Wars, Politics, and Global Power - Mike Mauceli, Fernando Gonzalez

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0:37Included with Prime. This is the Rich Dad Radio Show. The good news and bad news about money. Here's Robert Kiyosaki. Hello, Robert Kiyosaki, the Rich Dad Radio Show, broadcasting from Arizona, Phoenix, where it's either heaven or hell. And right now, it's heaven. It's as perfect as it can get. So we have a kind of interesting show because I have a friend. I flew with him in Vietnam together off of a carrier, and he's now a congressman in Washington, D.C. and he says Congress is going nuts with the Trump derangement syndrome. You know, they said, what is that guy up to? And so he's going to annex Greenland and then Canada.

1:29He's pissing everybody off. He's going to take Greenland from Denmark or something like this. And he calls it the Gulf of America now. And he said, Congress is going nuts. Trump derangement syndrome. So I thought we'd add to the mess here. We have two rich debt advisors. One is Michael Maselli. He's an oil man. So for full disclosure, I invest with Michael for oil because there's so many tax advantages to oil and stuff like this. And it's always used. It's like silver, not like gold. and this is my friend Fernando he is from Peru and I've been to Peru to climb to the mountaintop looking for gold, auto and it was very interesting being in Peru Fernando, you know, because Shining Path was there and Shining Path was a communist organization, now he's mayor of New York City, so anyway you know what a country we live in but I remember standing on the mountaintop from Peru, the Andes, you know, there's little holes being drilled.

2:38What the heck's that? And I'm at 17 ,000 feet. I couldn't even breathe. And so years and years and years ago, the indigenous people of Peru were drilling for gold. So thousands of years ago, they knew gold was worth something. And I was going there to buy a gold mine, and they didn't buy one. But Fernando's going to give the, so-called the Latin point of view on Trump derangement syndrome because he's from Peru and he's Trump's bombing Venezuela and whacking all those gunboats and and Mike Mosselli is an oil man and you know he's going to take that oil but I also suspect and Michael's going to verify this or not that oil was supposed to go to China from Venezuela so Trump was a knockoff that's my opinion I don't know if I'm a proof of that but it's Trump derangement time syndrome, I've written two books with a man here he's a good friend of mine Why He Want Me to Be Rich and The Midas Touch I think he's entertaining if nothing else he's more entertaining than when he was on The Apprentice you're fired take over Greenland give me a break and he's bombing Venezuela and is now going into its, where is he?

4:03Anyway, that guy is all over the place. So Michael, as an oil man, how much oil is in Venezuela? Well, Robert, thanks for having me on the show today. And I think there's about 280 billion barrels to 300 billion barrels, which is probably the number one oil reserves in the world. I think out of the 14 fields that Venezuela has, about 11 of them still has over 50 to 60 percent of their remaining reserves. And so there's a lot of oil there to be produced as far as on that. It is a heavier crude. But the good thing about it is most of our refineries were set up originally to handle heavy crude. because here in the United States, most of our oil is a very light crude.

4:58So they take that crude and they blend it with the heavy crude, which extends our reserves. So, you know, you can certainly see why Trump wanted to go after Venezuela, obviously going after the oil and, you know, what better deal for Trump than try to control the most oil reserves in the world, right? So, Michael, are you in line to take over to start drilling in Venezuela? Well, I have drilled in Argentina, you know, and I had a concession in Argentina, which we sold to Shell Oil back in the early 2000s. So I love doing business in South America. I have looked at some deals in Venezuela a long time ago.

5:39And so, yeah, I mean, it's, you know, there's a lot of opportunities there. So it just depends on, you know, what's going to happen with the government and what kind of assurities you're going to get. And how much truth do you think it is that Trump wants to cut the oil from China off, Venezuela to China? Is that possible or is that this rumor? Well, I think that's one of the main reasons why Trump wanted the oil in Venezuela. I mean, he did something very similar with the canal in Central America. And so he is trying to push China out of our continent. And I think he has an ulterior motive about getting Cuba back as well.

6:26So, you know, Cuba.

6:32I think he's trying to control both sides of the continent there. Yeah. It's like I said, we shouldn't be laughing, but there's something entertaining about it. That guy. Trump derangement syndrome. Mr. Fernando, hola, and you're from Peru. And I brought you, I'll be seeing you at Mar-a-Lago in a few weeks at Trump's place there. And so what do you think the South American or the Latin point of view is on Trump whacking Venezuela? Thank you, Robert, for having us. I think that is amazing because the number one thing is that Venezuela is recovering their freedom. They had for 28 years a dictator in place.

7:23The average salary in Venezuela is$4 per month. However, Switzerland government just found 113 tons of gold in Maduro's personal bank account. We are talking about$5 billion. dollars. And the people from Venezuela was eating from the garbage with four dollars a month. And this guy was stealing the gold, the silver, the minerals, and sending it to China, to Russia. They have also Hezbollah, which is an enemy with USA, inside their territory. So we believe he's going to bring a lot of stability in the region. It's going to be amazing. We are celebrating this, and we see Mr. President Donald Trump as a true hero, recovering the freedom for the Venezuela people.

8:27So you guys are happy he's getting rid of the dictators, right? Maduro was one, and who was the dictator before him? Before him was Chavez for 20 years, almost 20 years. And between Chavez and Maduro, 28 years sacking the money from the country, talking about socialism, communism. And this is going to have also, Robert, the ripple effect because next is Cuba, then Nicaragua. Many great things happening at the same time. The Trump derangement syndrome, man, he's... And I just think it's a Denmark that claims they own Greenland, and they're all up in arms with him. And like I said, my friend Jack Bergman, Fernanda, who will be in Mar-a-Lago with us the next two weeks from now, congressman, he says, Congress is going nuts.

9:25They hate the guy. You know, he's become almost a dictator, but I think he's a stand-up comedian personally. It's so funny. I just thought it was impressive too. Like Fernando is a graduate of the Peruvian Naval Academy, and that strike they put into Venezuela was precision. You know, I was watching the actions. It was all the elite of the elite went in. There was like a surgical removal of Maduro, right? he's gone.

10:01Our military is so freaking strong. It's well-disciplined, the best of the best. It's like Navy SEALs going in and taking some guy out. So I thought that was pretty impressive. How do you think the Venezuela people feel? Are they happy that Maduro's gone? Well, initially they were scary because they see all the bombing happening around. But it was not in the city. It was very precise in the military basis. And then when they saw the Apache helicopters going to the city, they understood that it was an obstruction just to remove from the power to President Maduro. So everything started at 2 a.m.

10:48And it was a change of celebration in the whole Latin America because it was like a Happy New Year. Everybody drinking on the streets because Maduro was removing from power. Wow. Interesting. So let me ask you this. We have to take this into consideration. In the 1920s, a key player was Exxon. ExxonMobil invested$767 million in Venezuela. The money went into pipelines, refineries, and infrastructure. And then when Chavez took the power, he kicked off all the American companies and steal all the oil. So this is a kind of payback. Yeah. And by the way, you know, what's war about is about oil. Because I went to tour tours in Vietnam.

11:47and they don't ever say this, but Occidental Petroleum was in there, Armand Hammer's company. And Vietnam was loaded with oil. So they want to make sure China didn't get it. So that's kind of one of the causes of Vietnam out there. So it's always about the oil, right, Mike? That's correct. And in fact, you know, when Chavez took over, I think he kicked Conoco out and then Conoco sued, you know, the Venezuelan government and ended up with the Venezuelan government still owns Conoco over$8 billion. And that was one of the things they were talking about. So, you know, the Americans, you know, they've spent a lot of money in what we here in the United States and in South America, especially in Venezuela.

12:38And so I think we can ramp up production there pretty fast from what the president of Chevron was saying. They've been on the ground there. They're the only company that's been able to continue to operate there. But they're saying that they can increase production by about 50 % within the next couple of years. So there's a great opportunity in Venezuela and other parts of South America that I think this is just going to have a ripple effect. And Fernando can probably talk more about that than I can. But as far as for the oil business and the U.S. and South America. And also, Mike, last week, this administration decided to invest in the Peruvian Navy$1 billion in the warships, modernizing the Navy base.

13:29So it's going to be amazing. It's not only Venezuela, it's also Peru, different countries where President Trump is recovering the Americas. Because we don't understand why Russia, Iran, Chinese people were inside Venezuela. This is South America. So President Trump make a strategic decision to get back to South America is part of the Americas leading that. Yep. And look, we're talking about here, Trump derangement syndrome, two books with a boy. I think it's entertainment, but depends on your point of view out there. There's one more thing we haven't mentioned so far is he's crushing Iran right now.

14:17And Iran is loaded with oil too, right, Mike? That's correct. I mean, I think they're the number three producer. So, headed to Trump, he's going to go after the number one producer and the number three producer. Plus Greenland and Canada. Yeah, plus Greenland. So, we come back. I don't know if we should be laughing or not, but what a character we have for a president. You know, I mean, he may not go down as the greatest president, but he'll go around the most entertaining. So, we come back with a final words summary about what we can do. How he profit from all this and what does it mean to have President Trump out there whacking Venezuela, Iran, and wherever else?

15:03Is he going to take Cuba and then Greenland? What else are they going to do? He's just playing a monopoly on a world scale. We'll be right back.

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17:32Welcome back, Robert Kinsley for the Radio Show. Our guest today, our Richard Advisors, Michael Maselli. For full disclosure, I invest with Michael. We make a lot of money together investing in oil in the United States. And Mike is a hardcore oil man. And Fernando Gonzalez is a graduate of Peruvian Naval Academy. And when he and I are meeting on February 12th in Mar-a-Lago, Trump's place, I'm being inducted as a head veteran or something. I thought my friends were all kidding me. they're going to induct me as a lead veteran in America. I'm going, Jesus, me? This is our friend here. I've been to Mar-a-Lago many times.

18:11It's worth seeing. And like I said, my other friend, we're being together because of the veterans. And Jack Bergman, he's now Congressman Jack Bergman, he and I flew together off of Vietnam, as we were talking about. The rumor was, the reason we're in Vietnam was because Armand Hammer, who was oxydant on petroleum, said there was oil in Vietnam. They'll make sure China didn't get it. So it's possible, I'm not saying it's true, that Trump doesn't want China to get Venezuela's oil. And it's also possible he's whacking Iran right now because Iran's a big oil producer. But one of the funniest things I heard years and years ago, because I'm an oil man also, I used to work for Standard Oil, driving oil tankers up and down the coast, across the Pacific.

19:03And they talked about how Golda Meir, who was the prime minister of Israel, she says, that damn Moses, he led us into the desert. You know, 40 years and 40 nights or whatever, Moses led him into the desert and beat the Jews up and all this stuff. And he takes out the only piece of land in that desert with no oil. So she's pissed at Moses that's taking a claim in oil also out there. Oil is the lifeblood of the economy. Without oil, there's no civilization. And I think so we can laugh about all this stuff, but there seems to be a method to Trump's madness here. So Moses led people to the promised land, but there's no oil in it.

19:52anyway so michael um would you stand in line to go into venezuela or not yeah i mean i've like i said i've done business in south america before so you know venezuela of course there has to be a lot of changes there but they had some great opportunities uh throughout colombia as well and you know different areas so So when we, of course, were in Argentina, the country was going through not a similar situation, I mean, through socialism and stuff. But the people were great. They enjoyed us being there. We made a lot of money there. So we were very, very pleased with South America doing business there and, you know, I'd like to get back again.

20:40So you were drilling in Argentina? Yeah, we had a 2 million acre concession up in the northwestern basin of Argentina, and we drilled the fourth deepest discovery in the country there, made a huge discovery of natural gas well. And Shell had a pipeline in Bolivia. We were right on the Argentine-Bolivian border. And so they needed the gas for their pipeline. So they bought us out. And that was our exit strategy. And, of course, shortly after that, the peso collapsed. It wasn't that we were smart. We were just lucky and got out. And like I said, we made some really nice money there. I was in Argentina also.

21:24It's an interesting place. Yeah, it really is. So, Fernando, it's interesting you say that Venezuelans are happy, but the dictators are gone. So you had Chavez and now Maduro. Yes, Robert. We have to take into consideration that 8 million of people migrate from Venezuela because of that dictatorship. 8 million. It's the biggest migration in the modern history. I remember that because I was talking to this guy. He says the most beautiful women come from Venezuela. And it was really a bonus because they all came to America.

22:11I don't know if that's true or not, but it was always a slow clock. So I think it's an interesting point of view that they're happy that the dictators are gone. And that's an interesting point of view. You can ask the Venezuelans over that question if they are happy. I will say 95 % of the people are happier. The only ones that are not happier were the people stealing the money from the rest of the people, stealing the gold, stealing the silver, keeping the people in poverty. They are not happy because they are losing everything. And now they are going to be in jail with their boyfriend in jail.

22:53It's a different game. The game is changing very fast. So we are so excited because of that. And I was in Argentina. I was, you know, I'm going to a commercial message here. I'll be at the Vancouver Resource Investment Conference in Vancouver, January 25th to 26th. Boys come right around the corner. and the Vancouver Resource Investment Conference is for people like me. I was a silver miner and we struck silver in Argentina and we thought we had struck it rich and all this stuff. Then a company called Yamana bought us out so I was out of Argentina. But the point I'm making here as an investor, you don't find me investing in stocks, bonds, mutual funds, and ETFs.

23:41I invest in resources. I like oil because oil is the lifeblood of a civilization. That's what you got to have. So that's why I invest for full disclosure with Mike of REI Energy. And gold and silver are money. And as you may say, silver could be the biggest investment of all today because it's catching up to gold in price. And when silver breaks 100, my prediction is I could be wrong. it's going to go to$200 right away. So I remember in 1990, you could buy silver for$5 an ounce and possibly in 2007, it'll be$200 an ounce. So I invest in resources because I like something I can see, touch, and feel.

24:28I invest in real estate, I can see, touch, and feel. And I was investing in cattle, I can see, touch, and feel it. You can keep your Warren Buffett paper and bonds and all that stuff. I just don't trust paper. I like hardcore resources. So, Michael, is there any possibility they'll find a replacement for oil? Well, I don't think they'll find a replacement for oil because over 6 ,000 products are made out of oil. It's just, you know, when most people think about oil, they think about gasoline or something like that. But as far as lubricants, you know, jet fuel, different types of fuels, You know, so I don't think there'll ever be a full replacement of it.

25:10I think that nuclear obviously going down the road will take up a lot of the electricity, you know, as far as on that. But as far as petroleum products and, of course, natural gas is still the cleanest burning fuel that we have out there. And we've got a tremendous amount of natural gas here in the U.S. And that a lot of times, you know, they don't even have the pipelines to move it. So we've got to add that infrastructure in order to bring in more pipelines. But we're really blessed here in this country with as much oil as we do have. Yeah. Again, I'll be at the Vancouver Resource Investment Conference talking about investing in metals and all this.

25:51But there's one thing important about oil and natural gas, AI. Artificial intelligence sucks a lot of energy. So I was talking to Michael about wherever they put up an AI power plant or a facility, they've got to have a lot of natural gas or oil or coal or something. Is that correct, Michael? Yeah, that's why you see a lot of these new power plants. I mean, these AI power plants, I mean, not power plants, but the AI plants being built in West Texas, where they have an easy access to a lot of natural gas and oil in order to generate that power. And I think Trump's come out and said that, you know, they're not going to put more money into the grid.

26:36So these these AI factories are going to have to supply their own power. So that's why you see a lot of them looking for places where, you know, natural gas is abundance in order to generate that electricity. The other thing that happened is that Germany, a couple of European countries, the Greenies took over. and they wanted to get away from oil and natural gas and all this. And they couldn't do it, and it sent the cost of production up. So because their cost of energy is so high and so inefficient that they can't produce Volkswagens and Mercedes and all this stuff. So I'll say it again. Civilization runs on energy, oil.

27:21And all these greenies who want to get rid of it, well, maybe in the future. or they want to go nuclear. The only trouble with nuclear is nuclear waste. The half-life is 10 ,000 years. It means what we're burning today in nuclear is going to be here for 10 ,000 years. It's still toxic. So all these guys are saying that nuclear is the clean energy. They don't know what they're talking about. So Fernando, Fernando. So when you look at the country of Peru, You guys have lots of silver too. Gold and silver. Yes, Robert. Yes, we are a mining country. And there's a lot of opportunities. Also, when you were talking, Robert, about Venezuela and what is happening, there is a lot of opportunities coming, not only for the oil industry, because they don't have expressways.

28:18They don't have a lot of things that they need to rebuild the city. So it's going to be a lot of opportunities in South America. Peru is the number two producer of gold, actually. A lot of silver, too, oil. But combining that strength from the whole South America united with USA under the president Trump leadership, I think is going to be amazing. And it's happening. Yeah. So would you take a moment, Fernando, to explain to the world, because most Americans never heard of him. Who was Shining Path? Well, they were terrorist people that were educated in China, and China, Russia, and Cuba. They have a goal to take the power through the arms with the military power that they have in their place.

29:20terrorizing people and putting the country in their knees. We didn't have any international business, any franchise, because of the terrorist people. The average salary in Peru was about$50,$75. The economy was completely down until President Fujimori took the power and started to fight back the terrorist people. but it was really a disaster in the history of Peru because it was for 12 years. Sanit Paz was a terrorist organization. 12 years and one. Sanit Paz was a terrorist organization. Yeah, it was terrifying. Mike, I was out there looking for gold in Peru and they put satchel charges onto these power lines.

30:11Oh, wow. and I was in Lima and the place was terrified because Shining Path was roaming the streets. So I've been all over the world. I went to Mongolia, a place called the Checkerboard, looking for gold out there. And it's interesting that resources, hard assets, gold, silver, oil, I still invest in that. And people say, well, bonds are safe. There's no such thing as safe. Japan and China right now are dumping the U.S. bond. Because a national debt is through the roof. So all these people say, oh, yeah, you know, like financial planners are saying, well, bonds are safe. They're lying to you. They're lying to you.

30:52You know, that's what bugs me. So I'd rather invest in hard asses like cattle and oil and food. And I have one friend who started with 10 chickens, and now he sells 1.8 million eggs a day. That's egg flow. You know what I mean? I said, I should invest in chickens also. The reason I bring all this up is because the S &P 500 is what most Americans have their 401ks in. And silver went up 140%. S &P didn't go up. So for those of you who are looking at making money, since 1965, I've been a hard assets guy. 1965, I held up a little silver dollar like this here. And it was no longer made of silver. It was made of copper.