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Free Example of War for Oil Essay

The problem of a future shortage of oil has been known for a long time. In 1956, a geologist King Hubbert predicted that the United States oil production would peak in 1970. In addition, in 1970, ESSO predicted that the world production would reach a peak in 2030. In 1976, the UK Department of Energy published a report, which indicated that the oil reserves in the North Sea were about to peak by the end of the century (Mufson, 2006). After passing the peak of oil production, all consumers around the world will face enormous difficulties, not because of the high cost of oil, but because of the oil gap. The oil economy totally depends on the approaching peak production.

That is why the powerful countries are fighting for the oil territories, for example, the U.S., which is known to have the conflicts with Iran, Saudi Arabia, and Libya. Of course, according to the official U.S. reports, the conflicts with the above mentioned countries have another reason. Lots of controversy questions have appeared, and they can be summarized in one statement– the U.S. oil production has been in a peak for a long time. What is more, it is quite strange, that the countries, which are in conflict with the U.S., have most of the world`s oil resources. That is why the aim of the research paper is to find out whether the U.S. is indeed fighting for oil or not.

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History of Fossil Fuel Exploration and Use

  1. First Steps in Exploration

The first world's oil industrial process was carried out in 1847 in Apsheron (Azerbaijan). The first oil well in the world was drilled at the Bibi-Aybatskom field near Baku. Long before BC the output of oil and gas were discovered in the Black and Caspian Seas and used for heating, cooking grease, as the cementing material and the road surface for sealing cracks and tarring ships. For several centuries China carried out percussion drilling with bamboo pipes. However, the systematic production of oil in the world started in 2000 (Lemley, 2003). In 1859 in Pennsylvania Edward L. Drake has started producing the first oil in America. In 1887 the large deposits of oil in Texas were opened. Predatory and unsustainable extraction of oil led to rapid depletion of reservoirs. In 1871 in Azerbaijan the first oil tanker was launched. In 1872 the family of well-known oil industrialists in Baku, Nobel, created the first oil company, and three years later built its first refinery. In 1900 the oil production was started in Romania, California, and Indonesia (Sumatra). In 1914 the oil production was started in Mexico, Trinidad, Venezuela and Iran (Mortishead, 2008).

From 1859 to 1939 the oil production in the United States accounted for 70% of world oil production. From 1954 to 1974, world production of crude oil increased more than  four times - from about 700 million tons to 2.9 billion tons. After the global economic downturn in 1974 and reduction in production, the Member States of OPEC (Organization of -Petroleum Exporting Countries)  caused the fluctuations in production, which peaked at 3.2 billion tons in 1979 and a minimum of 2.8 billion tons in 1983. The largest oil producers in 1987 were the USSR, the USA, Saudi Arabia and Mexico (Mortishead, 2008).

Until 1950 the USA produced half of the world's oil.  48 years later they could not produce even a half of the previous number. The United States had to pursue a policy of using the war to fight for oil; thus, this can explain the situation in Kuwait (Operation "Desert Storm") and Iraq (2003-2004). In the early 1960s, the Soviet Union replaced Venezuela from the position of the second largest oil producer in the world. Release of large amounts of cheap Soviet oil forced many Western oil companies to lower the prices for crude oil produced in the Middle East. Thus, the payments for the usage of the natural resources in the Middle East were reduced. This decrease in revenues was one of the reasons for the creation of the organization of oil producing countries – OPEC (Aleklett, 2006). During the second half of the 1960s and early 1970s, oil consumption increased by about 8% per year. In connection with the global economic downturn and the increasing use of more common fuels such as coal, the rate of increase in oil consumption declined by the end of the 1970s to 6% (Aleklett, 2006).

The sharp decline in the world oil prices was due to the development of alternative energy sources in the mid-1990s. It caused an increase in oil consumption up to 3 billion tons. Thus, in 1990, the world's proven recoverable reserves of liquid hydrocarbons were 125 billion tons. About 63% of these reserves are concentrated in the Middle and Near East. Saudi Arabia, Kuwait, Iraq, United Arab Emirates and Iran are countries with the largest proven recoverable reserves. The leading oil consumers are the USA, Japan and Western Europe (Mufson, 2006).

2. International Conflicts for Oil

Nowadays lots of international conflicts have double roots. As a rule, the countries are fighting for power, under the shadow of other reasons. Thus, everybody understands that if the country has an access to oil drilling it will be very powerful, as the oil reserves are declining. Thus, many conflicts on this issue have appeared.

According to Kevin Hall, the national economics reporter for "McClatchy Newspapers", one of the largest Italian oil companies «Eni» has stopped the deal with a major Russian oil company «Gazprom», whose president was Vladimir Putin. As the consequences of the suspension, «Gazprom» can no longer receive a large share of Libyan oil. The U.S. foreign policy focused on this situation for three years. Kevin Hall has studied the Wiki Leaks documents and discovered that while Mr. Berlusconi ascended to the post of Prime Minister of Italy, the United States put pressure on him. The new government had to force «Eni» to make the act against the interests of Russian oil company. «Gazprom» had to be the partner of «Eni». Italians play an important role in Libya, which is its former colony. In addition, they were on good terms with Gaddafi. «Eni», in turn, should have been included in the Russian project «South Stream» in the Caspian region (Mohamed, 2006).

However, this project was a competitor to the American project «Nabucco». According to the U.S. project, the natural gas from the eastern border of Turkey was supposed to come to Europe, bypassing Russia. More than 1,800 documents speak about the «Cold War», «Gazprom» and the need to restrain the influence of Russia. Russia today is the largest producer of energy.  The oil production and natural gas levels in Russia are higher than anywhere else. Most of these resources are transported to Europe. The U.S. has decided to free Europe from Russia as the only one source of energy. The countries have already seen that Russia uses its resources as their main weapon in the fight against the interests of Ukraine, Belarus and Georgia. Libya is yet another example. At the same time, it should be admitted that Russia has actively marketed the new fuel cells. For example, wood pellets are a real alternative to wood fuel (Mohamed, 2006).

Another part of Libya's conflict lays in the fact that «Eni» was also looking for a way to invest in Iranian oil that contradicts the U.S. policy. «Eni» has been mastered in Iran for a long time; however, the export of Iranian oil and selling it on the open market did not suit the American government. Italian Oil Company has already clashed with the USA. Now, «Eni» cooperates with «Gazprom», Russia and can have a big share of Libyan oil. The French are also involved, and, moreover, they are interested in owning a large share of oil production. Together with the United States they are trying to overthrow Gaddafi and get rid of «Gazprom» (Ricks, 2006).

The outcome of the war largely depends on how the world oil-producing countries will agree on the common decision. For example, the Arab oil-importing countries see Libya as the rival; that is due to the support of the United States. Russia, the largest supplier of gas to Europe, voting for UN Security Council resolution also got rid of its competitor, Muammar Gaddafi, who gave up indefinitely the plan to build a pipeline from the rich deposits of the natural gas from Libyan Desert to Italy. Moreover, it should be taken into the consideration that the world was covered with the biggest in the last half-century economic crisis, and 2% of the Libyan oil can be a critical figure in the global oil market.

Peak Oil Theory

  1. Background of the Theory

In 1954-1956 Dr. M.King Hubbert, the famous American geologist, formulated the basic laws, describing the depletion of any finite resource:

  • Production starts from zero;
  • Production rises to an unsurpassable peak,;
  • After the peak is passed, the production declines until the full resource exhaustion.

These simple rules can be applied to any system of mineral resources, including extraction of petroleum resources. Based on his theory, in 1956 Dr. Hubbert predicted that the United States oil production would come to peak in 1970. It should be noted that that time the U.S. extracted about half of all oil in the world and was the largest exporter of oil. Of course, the theory had not been taken into consideration until 1971, when it was suddenly founded out that increases in oil production in the U.S., despite the best efforts of the federal government, stopped and began to decline. After this, a natural interest in this theory has forced scientists to conduct the research on the prediction of the peak of oil production in one country and in the world in general. In accordance with the results of these studies, currently among the countries that are making a significant contribution to the world production of oil (more than 0.5 million bbl/ day), the peak oil production has already occurred in 36 countries (1 barrel = 159 liters). The projections, made by Hubbert's theory, differed from the date of the actual peak for not more than two years. The accuracy of calculations depends on the accuracy of estimates of oil reserves in the country (Mufson, 2006).

As for the forecasts to achieve the global peak of oil production, it may be noted that the vast majority of assessments fall within the period 2005-2015 (Ricks, 2006).

2. Current Situation and Predictions

A characteristic feature of oil production peak is that with the approaching to the peak, the growth in production slows down. At the peak of its rate it is equal to zero, and then the production starts to fall and the rate takes the negative values. As the world oil consumption in recent years is growing at 1.5-2.5% per year, the approaching to the peak of production will inevitably occur, or has already occurred. It is a period when the growth of oil production cannot compensate the increased demand. As a result, the price of the resource will grow as long, as the demand does not equalize with the proposal. Thus, due to the slowing down of the production, the oil supply cannot meet the growth in oil consumption, and the market will run out of the resource (Gaurav, 2008).

Recent rises in the oil prices that have been seen from September happened due to the fundamental causes of the real shortage of oil in world markets. This is indicated by several factors. First, according to data published in the IEA September report, the total reserves of oil consuming countries declined to its lowest level in five years. This enables the speculators on the stock exchange to raise prices, expecting growth stocks to average. A tendency can be seen that having sufficiently high oil production in the world, the oil reserves continue to decline. Moreover, the U.S. crude stocks have decreased with the occasional breaks for three months (for the last 14 weeks  there were only two slight increases in total reserves of oil, the rest of the stocks have been declining and stayed at the minimum values  over the past two years). Naturally, the market by increasing the prices for oil is trying to increase the supply or reduce the consumption, and all the other reasons, cited by experts (the Turkey-Iraq conflict, speculation, the decline of the dollar etc.), have the secondary importance (Gaurav, 2008).

It should be noted, that namely, according to the majority of analytics, the growth in oil consumption can be suspended only if the prices for petroleum products will be about two dollars per liter. On the other hand, in many states (the entire European Union, Israel, Turkey, etc.) the price of oil has been  close to this figure for a long time. However, with a marked reduction in oil consumption, it has not been observed. Therefore, it is possible that the price, at which oil consumption stabilizes or begins to decline, will be higher. For the past ten years, it became obvious that the gas prices are practically the same as the prices of oil. If in 2000 the price of gas in Europe and North America fluctuated around 55-60 dollars per 1,000 cubic meters, at the moment it is an average of 240-250 dollars. Thus, we can expect that within the next two to three years the gas prices will increase to $ 500 per 1,000 cubic meters. Coal prices also rose, but they are significantly behind the evolution of prices for oil and gas. This is due to a significant supply of coal on the world market and the difficulty of replacing oil with coal without major changes in technology, which, in turn, requires both time and money. It is clear, however, that a further rise in prices of oil and gas, coal and nuclear power will occupy an increasingly important place in the global energy sector, despite serious environmental problems (Fox, 2007).

Perhaps the most unpleasant, but inevitable consequence of raising the prices for oil and gas will be a significant rise in the cost of food. With rising prices for petroleum products, the price of bio fuels is increasing and, consequently, increases the price of corn and sugar.

Peak oil, 9/11, and the War on Terror

  1. 5 American Lies

The terrorist attacks of September 11, 2001, the ensuing war in Afghanistan and the “war on terror” have changed the world. However, just as the alleged Weapons of Mass Destruction had nothing to do with the invasion of Iraq, and Osama Ben Laden had nothing to do with the war in Afghanistan. The real reasons for war are oil, gas and pipeline around the Caspian Sea. Operation “11th of September” set itself the goal to give new impetus to the U.S. attempts to gain the control over foreign oil and gas. Thus, as it has been evaluated after, one of the major motives why the President George Bush permitted and controlled the attack and, actually the war with Arabian world, was the oil. 11th of September became very suitable pretext to occupy Iraq and use the fields of oil. America has already stated 5 statements, which have no real explanation (Burke, 2004):

First lie: in 1999, and later in 2001, the Taliban came to the conclusion that the presence of Ben Laden in their territory prevents international recognition of their regime, and proposed to remove him to the United States, or, at least, neutral country. The U.S. refused both times. How can be explained such a refusal?

Second lie: shortly before the September act of terrorism,  Osama Ben Laden, who by then had been actively sought by the Americans, apparently, for the past three years, quietly showed up in Dubai, where was not only easily treated, but also met by a representative of the CIA.

Third lie: immediately after the September terrorist attacks, the Taliban again offered to extradite Ben Laden, in order to judge him in a neutral country. The precedent was: in relation to air attack in Lockerbie a citizen of Libya was extradited and sentenced. However, this proposition Bush immediately rejected. Why?

Fourth lie: it is a well known fact that the U.S. funded and armed Ben Laden in Afghanistan so that he was able to control this country. Far fewer it is known about America`s attitude to the armed fanatics for similar problems in Bosnia, Kosovo, Macedonia and Chechnya. Why has the U.S. authorities refused to open the documents on the U.S. role in these wars that led to such tragic consequences?

Fifth lie: the U.S. claims that the destruction of the Taliban regime was necessary to guarantee democracy and human rights of women. However, who will replace them? The Northern Alliance, created by Massoud, who took a worthy place in the list of leaders of the bloody terror and drug trafficking?

All these facts suggest the idea that the question of war was settled long before the terrorist attacks of September 11. In addition, it was unequivocally confirmed by Niaz Naik, a former Pakistani Foreign Minister. According to him, at the end of July the U.S. officials discussed with him their plan for military action to topple the Taliban regime and the establishment of rule of “moderate Afghans”. To carry out this action it was planned to use military bases in Tajikistan, where the work was already led by American advisers. Americans told him that if Pakistan supported this action, it would be held before the snow falls, that is, at the latest, in the middle of October.

2. 9/11 Made up Conflict

As it has been already mentioned, the U.S. can`t answer many questions about the events after the act of terrorism on 11th of September, as well as the events during this act.

According to the official version, early in the morning, on the 11th of September the terrorists hijacked four Boeing passenger planes within an hour. The nineteen terrorists, all Arabs, were armed with box cutters. They took control over the jets and altered the course towards the targets in the heart of New York and Washington. Two Boeings were deliberately aimed at the Twin Towers, as a result of which the flame started inside of the buildings and it melted the supporting steel structure, which caused the complete destruction of buildings. However, the official version cannot withstand the critical examination (Cohen, 2001).

In accordance with the official version, the nineteen terrorists hijacked four Boeings. There definitely Arabs ready to sacrifice their lives for what they believe to be the right cause (freedom of the Arab people from the constant interference of America and the brutal aggression of Israel), although it would have been difficult to find such a number of them for one mission. In addition, where were founded Arabs, who also knew how to operate Boeing 757 and Boeing 767? (None of the alleged Arab hijackers was working as a professional pilot.) What is more, it is very strange that the Boeings, changing the course, have not been noticed and have not met the obstacles from the U.S. government (which included the U.S. Air Force), which was responsible for protecting the air space (notwithstanding that the Pentagon jet was in the air for nearly an hour after the first collision).

As for the towers, it is obvious that they were destroyed not only by the collision with the aircraft. Both of them stood for 45 minutes to an hour and a half after the impact. According to the official explanation, faithfully parroted by the media, is that the towers collapsed due to the jet fuel which melted the steel girders. There was much black smoke and soot coming from the Twin Towers, but the fire was almost not visible. In order to melt the steel the high temperature is needed, obtained, for example, by using an acetylene torch. If the jet fuel is burning in air, specifically inside a building that is filled with a lot of smoke and little oxygen, it can`t provide such temperature. If the columns had melted, that the resulting weakness would have never been symmetrical (that is needed when the building was "composed" in a controlled demolition). In the process of an uncontrolled collapse the pieces of concrete and steel beams would be scattered over a large area, causing huge damage to surrounding buildings in lower Manhattan and resulting to the numerous victims among the population (Cohen, 2001). None of this occured.

The study of the chronology of the September 11th events  provides evidence that the collapse of the Twin Towers  was not caused by the fire. First, one plane hit the North Tower at 8:45 am. The plane crashed into the center of the tower at a right angle, which was followed by the huge explosion. At 9:03, another plane hit the South Tower. However, the one, who ran the aircraft failed to implement a collision at a right angle, and the plane crashed close to the edge of the tower at an acute angle, a relatively small amount of fuel got into the building, the main part burned in the fireball. As the fuel and plane at the beginning shared a same trajectory, and after the collision, the metal wreckage followed much the same direction as the fuel: through the corner of the Tower. All of the steel columns, that supported the major load, were situated at the center of the skyscraper, that is why most of the metal liner could not hit the central columns, which were not damaged after the collision.

Thus, both the plane impact and the fire couldn’t cause sufficient damage to the South Tower, so the South Tower collapsed for another reason.

  1. Real Causes of 09/11Events

In 2001, Bush has signed the huge contract for 200 milliard dollars for the construction of another, even more monstrous fighter Joint Strike Fighter. In fact, the war unleashed by the United States, pursues much broader purpose (Thompson, 2008):

  • Control over oil and gas in Central Asia.
  • The introduction of military bases in the heart of Asia, between China and Russia.
  • Saving America's dominance over Saudi Arabia.
  • Militarization of the economy as a means of "overcoming" the glow of the crisis.
  • Crackdown of the Third World and anti-globalization movement.

Thus, the war of terror can be simply a pretext to the real war for oil.

Alternative Energy

  1. Power of Oceans

It is known that there are enormous energy reserves in the oceans. This thermal energy corresponding to the overheating of the water surface compared to the bottom, say, 20 degrees has a value order of 1026 G. A kinetic energy of ocean was currently estimated at 1018 G. However, today, people can only use a very small proportion of these energies, and the cost of the large investments is slowly paying off. Until recent times the usage of ocean energy seemed to be unprofitable. The most common is the production of energy from energy tides. In 1967, in Delta Rans, France, the tidal power station (SES) with the capacity of 240 MW was built. Here the tides reach a height of 13 m. In 1968, the Soviet engineer Bernstein developed a convenient way to tow SES in the right place. In the same year he built an experimental SES in Acid Bay, near Murmansk (Cantor, 1993p.43-45).

2. Power of Sun

The recent interest in the issue of solar energy has increased dramatically. The potential possibilities of using the direct solar energy are very large. If 0.0125% of this energy had been used, the humanity would have been fully equipped with energy today. The use of 0.5% would have fully covered all needs of the whole humanity (Cantor, 1993p.51-52).

3. Power of Wind

This type of energy is an indirect form of solar energy, and, therefore, belongs to renewable energy. The use of wind energy is one of the oldest known forms of energy obtained from the environment. At the end of 2007, the total installed capacity of wind turbines in the world was 94.1 gig watts. Despite the fact that the resulting electricity was 1% of the electricity consumption in the world, wind power accounts for approximately 19% of electricity use in   Denmark, Spain and Portugal - 9%, Germany and Ireland - 6% (data for 2007). In global terms, the production of electricity through wind energy has increased five times between 2000 and 2007 (Mortishead, 2008). 

Thus, if humans use even 50% of power of wind, oceans and sun, there would be no need to consume a lot of oil and gas for the industrial sector, which would decrease the amount of the resources used in the world (Cantor, 1993, p.3).


To make the long story short, there are lots of evidences that the U.S. made up the whole conflict with the act of terrorism just in order to have the pretext to start the fight for the oil. Indeed, the peak theory should be taken into consideration. Due to it, the U.S. oil production has been on the peak few years ago. The fact is that the U.S. government is aware that in the future the countries, which have access to oil, will be the most powerful, because oil is black gold, and it will always be valuable. However, the main roles in the whole situation with oil play not the U.S. government, but the transnational corporations, which became more powerful than government. Thus, the act of terrorism may be not carried out by Al-Qaida, but there is a big possibility, that it was done by the U.S. itself.

Another thing is that, it is very strange that the U.S. is a member of all conflicts with the countries, which have one of the greatest resources of oil. In addition, it seems that the U.S. planned the conflicts long before they started. Thus, the U.S. was on Saddam Hussein’s side in the Iraq-Iran war. The U.S. also took part in Libyan conflict, with the UN Resolution. Even now it can`t be explained whether the resolution was humanitarian intervention or humanitarian imperialism. Even if to count the money spent on the war – the numbers are enormous. There is a big doubt if there was no oil, whether the U.S. would spend these sums to prevent the terrorism. That is why it is more likely that the September act of terrorism was artificially invented by the U.S. in order to have the pretext to start the war for oil.

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