The relationship between Gaddafi and the U.S. oil industry as a whole was odd. In 2004, President George W. Bush unexpectedly lifted economic sanctions on Libya in return for its renunciation of nuclear weapons and terrorism. There was a burst of optimism among American oil executives eager to return to the Libyan oil fields they had been forced to abandon two decades earlier. . . .
Yet even before armed conflict drove the U.S. companies out of Libya this year, their relations with Gaddafi had soured. The Libyan leader demanded tough contract terms. He sought big bonus payments up front. Moreover, upset that he was not getting more U.S. government respect and recognition for his earlier concessions, he pressured the oil companies to influence U.S. policies. . . .
When Gaddafi made his deal with Bush in 2004, he had hoped that returning foreign oil companies would help boost Libya’s output . . . The U.S. government also encouraged American oil companies to go back to Libya. . . .
The companies needed little encouragement. Libya has some of the biggest and most proven oil reserves -- 43.6 billion barrels -- outside Saudi Arabia, and some of the best drilling prospects. . . . Throughout this time, oil prices kept rising, whetting the appetite for greater supplies of Libya's unusually "sweet" and "light," or high-quality, crude oil.
By the time Secretary of State Condoleezza Rice visited in 2008, U.S. joint ventures accounted for 510,000 of Libya's 1.7 million barrels a day of production, a State Department cable said. . . .
But all was not well. By November 2007, a State Department cable noted "growing evidence of Libyan resource nationalism." It noted that in his 2006 speech marking the founding of his regime, Gaddafi said: "Oil companies are controlled by foreigners who have made millions from them. Now, Libyans must take their place to profit from this money." His son made similar remarks in 2007.
Oil companies had been forced to give their local subsidiaries Libyan names, the cable said. . . .
via Washington Post and Glenn Greenwald
Or maybe, as was the obvious case in Iraq which no one could ever possibly question, we're staying and waging war (illegally) solely to fight for the dignity of Libyan women? President Obama sure is quiet these days. Luckily everyone is nice and distracted by Anthony Weiner's penis.
No comments:
Post a Comment