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Iraqi oil
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iraqi oil -
Iraq's impoverished people live on top of the world's second largest oil reserves. According to the U.S. Department of Energy, Iraq has 112 billion barrels of oil 'proven', and a further 100 billion 'unproven'. This oil is under threat because of Iraq's antiquated extraction methods, which pollute the oil.

Iraqi oil contracts, prewar, were offered to France, Germany, Chain and Russia (who are all antiwar). The U.S. and Britain were excluded.

PEOPLE
dick cheney More a nationalist than an imperialist, [Cheney] cannot be accused of dragging America into Iraq this time for oil. There is plenty of evidence to suggest weapons of mass destruction are his primary concern. However, Mr Cheney's America First policy may well ensure US companies will exploit Iraqi oil for the "benefit" of its liberated people. Randeep Ramesh, Guardian March 13, 2003
  Richard Perle " We went to great lengths to secure oil fields. This was done with one interest in mind, and that is the future of the Iraqi people and the capacity of the Iraqi nation to rebuild itself under a new and decent regime. We could have been indifferent that. We were not. We risked American lives to secure those oil fields. We have secured them for the people of Iraq, and that argument about our motives with respect to oil will be settled when this war is over and it is clear to everyone that that oil belongs to the people of Iraq and will be produced for the people of Iraq." Richard Perle, AEI seminar March 25, 2003
  James Woolsey " ...We're not going to seize the Iraqi oil fields for the benefit of American consumers. If we wanted to have cheap oil, it would have been very easy. You just relax the sanctions on Saddam and let him pump it." James Woolsey, AEI seminar March 25, 2003
  James Woolsey MS. PLETKA: ... I wanted to mention that no lesser authority than Le Monde yesterday in its editorial announced that this war was not about petroleum and that anybody who thought so was incorrect. So now we have it. We know it must be true.
MR. WOOLSEY: We've [won]. AEI seminar March 25, 2003
     
ISSUES
  Israeli Energy Supply " Plans to build a pipeline to siphon oil from newly conquered Iraq to Israel are being discussed between Washington, Tel Aviv and potential future government figures in Baghdad...The plan envisages the reconstruction of an old pipeline, inactive since the end of the British mandate in Palestine in 1948, when the flow from Iraq's northern oilfields to Palestine was re-directed to Syria...Now, its resurrection would transform economic power in the region, bringing revenue to the new US-dominated Iraq, cutting out Syria and solving Israel's energy crisis at a stroke." Guardian, April 20, 2003
  Oil for Food " Iraq played its oil card. It announced it would cut off oil exports entirely. The price to resume exports, said the Saddam Hussein spokesmen, was a 50-cent surcharge on every barrel of Iraqi oil, to be paid directly to the Baghdad regime. The demand... is a direct violation of a number of UN agreements signed by Iraq since 1991...All of this unsettling behaviour by Iraq would be bad enough by itself. When a major oil producer encourages unstable supplies and high prices, it constitutes a major shock to many countries. In Thailand, where we import virtually all our oil, the rising prices of the past year have already harmed our economy." Bangkok Post December 5, 2000
  US energy supply " The second inescapable reality of the post-twentieth-century world is that the security of the world's oil and gas supplies will remain a vital national interest of the United States and of the other industrial powers. The Persian Gulf . . . is still a region of many uncertainties. . . . In this 'new energy order' many of the most important geopolitical decisions--ones on which a nation's sovereignty can depend--will deal with the location and routes for oil and gas pipelines. In response, our strategy, our diplomacy, and our forward military presence need readjusting." Robert Dole, then Senate Majority Leader, in Atlantic Monthly, April 1996
  US energy supply " Facing its most chronic shortage in oil stocks for 27 years, the US has this month turned to an unlikely source of help - Iraq.
Weeks before a prospective invasion of Iraq, the oil-rich state has doubled its exports of oil to America, helping US refineries cope with a debilitating strike in Venezuela." UK Observer January 26, 2003
  oil industry " Iraqi oil is comparatively simple to extract - less than $1 per barrel, compared with $6 a barrel in Russia. Soon, US and British forces could be securing the source of that oil as a priority in the war strategy. The Iraqi fields south of Basra produce prized 'sweet crudes' that are simpler to refine." UK Observer January 26, 2003
  oil industry "The American oil industry is very interested in trying to enter Iraq," said J. Robinson West, chairman of Petroleum Finance Co., a consulting firm. "But I think that they are quite respectful of U.S. policy towards Saddam Hussein. There is a very strong feeling that in fact he is the greatest threat to oil production in the Middle East." Washington Post March 2001
  weapons of mass destruction " The US military says this is a security issue rather than a grab for oil, after a 'variety of intelligence sources' indicated that Saddam planned to damage or destroy his oil fields - which would inflict up to $30bn damage on the US economy and cause irreparable environmental damage." UK Observer January 26, 2003
  oil industry "Post the Iraq war there will be a lot of countries going into Iraq, if an opportunity came along then, like anywhere else, we'd think about it." BHP Billiton petroleum president Philip Aiken March 25, 2003
  US energy demand "Steve Cassiani, president of Exxon Mobil Upstream Research Company, said that global oil demand through to 2010 was expected to rise at two percent per year, and gas demand was expected to rise three percent each year. "The difficulty is that while global demand increases, existing production declines," he said... We expect by 2010 about half the daily volume needed to meet projected demand will come from fields not on production today." Yahoo Finance March 25, 2003
  US economy " To the extent that the Gulf's recapture of the dominant share of the global oil market will make price increases more likely, the U.S. economy is at risk. Although oil imports as a percent of gross domestic product have decreased significantly in the past decade, our economic vulnerability to rapid increases in the price of oil persists. Since 1970 sharp increases in the price of oil have always been followed by economic recessions in the United States." Atlantic Monthly, April 1996

External links:

United States Department of Energy's Iraq profile


 
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