Steve Coll

How the US Protected ExxonMobil From Becoming Ensnared in Brutal Indonesian Conflict

The greatest strategic challenge facing ExxonMobil Corp., the largest oil company in the world not owned by a state, is access to new oil reserves. Resource nationalism – the inclination of many Middle Eastern and other post-colonial governments to control their own oil – has locked the corporation out of many oil opportunities. This has led ExxonMobil to riskier political frontiers in Africa and Asia, countries where the government is too weak or corrupt to produce its own oil. Also, in these states, oil and gas production exacerbates internal conflicts and incites guerrilla armies because controlling an oil or gas field can be a ticket to sudden wealth.

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