Lou Ann Hammond discusses Brazil’s energy with Autoline Detroit John McElroy

Lou Ann Hammond discusses Brazil’s energy with Autoline Detroit John McElroy

Lou Ann Hammond discusses Brazil’s energy with Autoline Detroit John McElroy.

Dec 17, 2007 – Lou Ann Hammond, CEO, www.carlist.com & www.drivingthenation.com discusses Brazil’s energy with Autoline Detroit John McElroy.

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welcome to my talk right now with Lou Ann Hammond, CEO, www.carlist.com & www.drivingthenation.com, great to have your back on the show.
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let’s talk about what’s going on in brazil you’ve just got back from the air
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and they’re going day musters huge or you’ll explore what exploration
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and without a doubt where workers on the latest things that you learned you know
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it’s amazing what you learned about your own country when you get somebody else
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this country
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but for example and learned that in the united states
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that if we happily have almost completely saturated with cars
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so four one person they have about one point two car
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and brazil
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they have for eight people they have one car so a lot of potential in brazil
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preset rate in united states
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for gasoline in the in brazil gasoline is always mixed with twenty to
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twenty-five percent alcohol or ethanol as we call it
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and uh… down there’s about six eighteen ninety gallon
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alcohol it’self or you one hundred ethanol one hundred is about three
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eighty gallon course here at that time gasoline is about three dollars a gallon
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our expired for brazil’s exports
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they don’t pay experiment exporter they’re actually exporting pad ethanol
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now and not importing any oil
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so that we have to be having net trade of zero
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on their trade deficit we of course are or else cox is about forty percent about
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trade deficit
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huge difference there
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and he just found a bunch of oil here right they doubled their reserves
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it did that they used about eleven billion in reserves eleven billion uh…
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barrels of oil reserves
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right off the coast of rio de janeiro they found that eight they think about
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eight billion me apparel factories survive all your so they’re very happy
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that it’s it’s going to be deep
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it’s going to be about four times
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the cost of x uh… drilling that regular just
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saudi arabia oil will be thinking about i dated seventeen to twenty dollars and
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bear uh… a barrel to the for saudi arabia oil
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going to be about seventy two day two dollars a barrel get the set of out of
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the salt and see rock av rio de janeiro
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but had to rush says they will do it now but not reporting years
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way different from what venezuela is doing because venezuela’s not putting
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money into
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the production of oil
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so here in the united states is
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were actually buying
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or you know of brandon is wailea
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with no terrorist
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and word we won’t buy ethanol from brazil can’t out the tariff at fifty
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four cents a gallon
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when i went down there i went down and said okay
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the fifty view some leverage now
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you wouldn’t know that you found a while because we need all the away a week and
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get we need gasoline when ninety six percent
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dependent on gasoline for our vehicles
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and they said
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what about if instead
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we we find this ordeal
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in brazil
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make that ten percent with ethanol
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and should be patient
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sell it to them
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that helps their kyoto protocol turn of the literature because it takes ten
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percent of the carving right out of fuel right-hand jco okay
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why is your
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so i have to do a little bit more digging because
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here i’m thinking
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you know we’ve got a pretty decent
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agreement with brazil on most things except for energy
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and so i i find i’d go to a couple other economist inside what’s going on white
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ager
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hit well
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in particular japan mit’sui is investing and ethanol production impersonal
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and prisons like it
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when people invest in their country
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poverty and crime still grilled
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real real thick
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in brazil
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they need to be d develop as quickly as they can they need to get some of these
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people often
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out of the corrugated steel homes they live in and they’ve developments
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so they would really neat all that development that they can’t
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and if there are other countries willing to come in and help then they’re going
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to do it
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america’s having problem united states excuse me non-american all united states
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is having problems right now with their sub-prime stuff so they’re saying
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this brazil seem last by pianos
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from united states
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uh… market
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so japan is stepping in with the ethanol production going make a difference
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so uh… and where we think this is all going for brazil it’s going to become a
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net energy exporter or or i guess already has
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but using his newfound oilers mix ethanol in with that and and use that to
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help get it’self in all into world markets i’d i do think that that was
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going to go i think that uh…
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seeing that has eight timeline of what could happen
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imagine if you instead attacking
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ethanol from i went down to miami if we could just put a pipeline from brazil
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and actually by ten percent bafna with gasoline brazil’s also talking about
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taken the technology over new mexico and this was confirmed by a couple of our
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journalist friends from mexico that they are um… looking at brizill fourth the
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technology of learning how to to create at the mo and their own country as well
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pollutant bristles looking very
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uh… wide globally at effort now
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and that proud
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help people teach them how to to create
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ethanol in a bland with get with gasoline ash also say that brazil sales
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of flex fuel vehicles
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have gone from about
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uh… own zero just five or six years ago
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took eighty percent of the market now had split fueled vehicles at their mind
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very interesting watching not possessing all market development other places of
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the world there’s so much focus on it in the u_s_ by
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we tend to ignore the fact that there’s a lot of activity going on elsewhere
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will thanks so much for coming in and and bring us up to date on your latest trip
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to brazil and everything you found out about what they’re doing down there
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thank you John

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About the Author:

Lou Ann Hammond is the CEO of Carlist and Driving the Nation. She is the co-host of Real Wheels Washington Post carchat every Friday morning and is the Automotive, energy correspondent for The John Batchelor Show and a Contributor to Automotive Electronics magazine headquartered in Korea. Hammond is a member of the North American Car and Truck of the Year (NACTOY), Women's World Car of the Year (WWCOTY), and the Concept Car of the Year.