Media Tell Us About Iraq War-Oil Connection Five Years After the Fact

By Tom Engelhardt, Tomdispatch.com. Posted June 25, 2008.

More than five years after the invasion of Iraq -- just in case you were still waiting -- the oil giants finally hit the front page...

Last Thursday, the New York Times led with this headline: "Deals with Iraq Are Set to Bring Oil Giants Back." (Subhead: "Rare No-bid Contracts, A Foothold for Western Companies Seeking Future Rewards.") And who were these four giants? ExxonMobil, Shell, the French company Total and BP (formerly British Petroleum). What these firms got were mere "service contracts" -- as in servicing Iraq's oil fields -- not the sort of "production sharing agreements" that President Bush's representatives in Baghdad once dreamed of, and that would have left them in charge of those fields. Still, it was clearly a start. The Times reporter, Andrew E. Kramer, added this little detail: "[The contracts] include a provision that could allow the companies to reap large profits at today's prices: the [Iraqi oil] ministry and companies are negotiating payment in oil rather than cash." And here's the curious thing, exactly these four giants "lost their concessions in Iraq" back in 1972 when that country's oil was nationalized. Hmmm.

You'd think the Times might have slapped some kind of "we wuz wrong" label on the piece. I mean, remember when the mainstream media, the Times included, seconded the idea that Bush's invasion, whatever it was about -- weapons of mass destruction or terrorism or liberation or democracy or bad dictators or... well, no matter -- you could be sure of one thing: it wasn't about oil. "Oil" wasn't a word worth including in serious reporting on the invasion and its aftermath, not even after it turned out that American troops entering Baghdad guarded only the Oil and Interior Ministries, while the rest of the city was looted. Even then -- and ever after -- the idea that the Bush administration might have the slightest urge to control Iraqi oil (or the flow of Middle Eastern oil via a well-garrisoned Iraq) wasn't worth spending a few paragraphs of valuable newsprint on.

I always thought that, if Iraq's main product had been video games, sometime in the last five years the Times (and other major papers) would have had really tough, thoughtful pieces, asking really tough, thoughtful questions, about the effects of the invasion and ensuing chaos on our children's lives and the like. But oil, well... After all, with global demand for energy on the rise, why would anybody want to invade, conquer, occupy, and garrison a country that, as Deputy Secretary of Defense Paul Wolfowitz once observed, "floats on a sea of oil"?

And let's be fair. At the time of the impending invasion, reasonable people couldn't possibly have imagined that it had anything to do with oil, not while George W. Bush was politely ignoring the subject, except when referring obliquely to Iraq's "patrimony" of "natural resources." Forget that our President had had an 11-year career in the energy business (and had been Arbusto-ed); or that his Vice President had been the CEO of a giant energy services corporation, Halliburton -- retiring during the presidential campaign of 2000 with a $34 million severance package; or that, back in those distant years, he had not hesitated to talk about the necessity of getting a tad more oil into the international pipeline. (As he told an oil industry crowd back in 1999, "By some estimates there will be an average of two percent annual growth in global oil demand over the years ahead along with conservatively a three percent natural decline in production from existing reserves. That means by 2010 we will need on the order of an additional fifty million barrels a day. So where is the oil going to come from?" Where indeed? He then answered his own question: "While many regions of the world offer great oil opportunities, the Middle East, with two-thirds of the world's oil and the lowest cost, is still where the prize ultimately lies.")

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Tom Engelhardt, editor of Tomdispatch.com, is co-founder of the American Empire Project and author of The End of Victory Culture.

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