The Secret of the Seven Sisters – The Shameful Story of Oil [A 4-part series that reveals how a secret pact formed a cartel that controls the world’s oil]

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The Secret of the Seven Sisters

 A four-part series that reveals how a secret pact formed a cartel that controls the world’s oil.

BY ALJAZEERA

On August 28, 1928, in the Scottish highlands, began the secret story of oil.

Three men had an appointment at Achnacarry Castle – a Dutchman, an American and an Englishman.

The Dutchman was Henry Deterding, a man nicknamed the Napoleon of Oil, having exploited a find in Sumatra. He joined forces with a rich ship owner and painted Shell salesman and together the two men founded Royal Dutch Shell.

The American was Walter C. Teagle and he represents the Standard Oil Company, founded by John D. Rockefeller at the age of 31 – the future Exxon. Oil wells, transport, refining and distribution of oil – everything is controlled by Standard Oil.

The Englishman, Sir John Cadman, was the director of the Anglo-Persian oil Company, soon to become BP. On the initiative of a young Winston Churchill, the British government had taken a stake in BP and the Royal Navy switched its fuel from coal to oil. With fuel-hungry ships, planes and tanks, oil became “the blood of every battle”.

The new automobile industry was developing fast, and the Ford T was selling by the million. The world was thirsty for oil, and companies were waging a merciless contest but the competition was making the market unstable.

That August night, the three men decided to stop fighting and to start sharing out the world’s oil. Their vision was that production zones, transport costs, sales prices – everything would be agreed and shared. And so began a great cartel, whose purpose was to dominate the world, by controlling its oil.

Four others soon joined them, and they came to be known as the Seven Sisters – the biggest oil companies in the world.

7 (1)

EPISODE 1 – Desert Storms

In the first episode, we travel across the Middle East, through both time and space.

Since that notorious meeting at Achnacarry Castle on August 28, 1928, they have never ceased to plot, to plan and to scheme.Throughout the region’s modern history, since the discovery of oil, the Seven Sisters have sought to control the balance of power.

They have supported monarchies in Iran and Saudi Arabia, opposed the creation of OPEC, profiting from the Iran-Iraq war, leading to the ultimate destruction of Saddam Hussein and Iraq.

The Seven Sisters were always present, and almost always came out on top.

We waged the Iran-Iraq war and I say we waged it, because one country had to be used to destroy the other. As they already benefit from the oil bonanza, and they’re building up financal reserves, from time to time they have to be bled.”

– Xavier Houzel, an oil trader

EPISODE 2 – The Black El Dorado

At the end of the 1960s, the Seven Sisters, the major oil companies, controlled 85 percent of the world’s oil reserves. Today, they control just 10 percent.

New hunting grounds are therefore required, and the Sisters have turned their gaze towards Africa. With peak oil, wars in the Middle East, and the rise in crude prices, Africa is the oil companies’ new battleground.

“Everybody thought there could be oil in Sudan but nobody knew anything. It was revealed through exploration by the American company Chevron, towards the end of the 70s. And that was the beginning of the second civil war, which went on until 2002. It lasted for 19 years and cost a million and a half lives and the oil business was at the heart of it.

– Gerard Prunier, a historian

In their bid to dominate Africa, the Sisters installed a king in Libya, a dictator in Gabon, fought the nationalisation of oil resources in Algeria, and through corruption, war and assassinations, brought Nigeria to its knees.But the real story, the secret story of oil, begins far from Africa.

Oil may be flowing into the holds of huge tankers, but in Lagos, petrol shortages are chronic.

The country’s four refineries are obsolete and the continent’s main oil exporter is forced to import refined petrol – a paradox that reaps fortunes for a handful of oil companies.

Encouraged by the companies, corruption has become a system of government – some $50bn are estimated to have ‘disappeared’ out of the $350bn received since independence.

But new players have now joined the great oil game.

China, with its growing appetite for energy, has found new friends in Sudan, and the Chinese builders have moved in. Sudan’s President Omar al-Bashir is proud of his co-operation with China – a dam on the Nile, roads, and stadiums.

In order to export 500,000 barrels of oil a day from the oil fields in the South – China financed and built the Heglig pipeline connected to Port Sudan – now South Sudan’s precious oil is shipped through North Sudan to Chinese ports.

In a bid to secure oil supplies out of Libya, the US, the UK and the Seven Sisters made peace with the once shunned Colonel Muammar Gaddafi, until he was killed during the Libyan uprising of 2011, but the flow of Libyan oil remains uninterrupted.

In need of funds for rebuilding, Libya is now back to pumping more than a million barrels of oil per day. And the Sisters are happy to oblige.

EPISODE 3 – The Dancing Bear

In the Caucasus, the US and Russia are vying for control of the region. The great oil game is in full swing. Whoever controls the Caucasus and its roads, controls the transport of oil from the Caspian Sea.

Tbilisi, Erevan and Baku – the three capitals of the Caucasus. The oil from Baku in Azerbaijan is a strategic priority
for all the major companies.

From the fortunes of the Nobel family to the Russian revolution, to World War II, oil from the Caucasus and the Caspian has played a central role. Lenin fixated on conquering the Azeri capital Baku for its oil, as did Stalin and Hitler.

On his birthday in 1941, Adolf Hitler received a chocolate and cream birthday cake, representing a map. He chose the slice with Baku on it.

On June 22nd 1941, the armies of the Third Reich invaded Russia. The crucial battle of Stalingrad was the key to the road to the Caucasus and Baku’s oil, and would decide the outcome of the war.

Stalin told his troops: “Fighting for one’s oil is fighting for one’s freedom.”

After World War II, President Nikita Krushchev would build the Soviet empire and its Red Army with revenues from the USSR’s new-found oil reserves.

Decades later, oil would bring that empire to its knees, when Saudi Arabia and the US would conspire to open up the oil taps, flood the markets, and bring the price of oil down to $13 per barrel. Russian oligarchs would take up the oil mantle, only to be put in their place by their president, Vladimir Putin, who knows that oil is power.

The US and Putin‘s Russia would prop up despots, and exploit regional conflicts to maintain a grip on the oil fields of the Caucusus and the Caspian.

But they would not have counted on the rise of a new, strong and hungry China, with an almost limitless appetite for oil and energy. Today, the US, Russia and China contest the control of the former USSR’s fossil fuel reserves, and the supply routes. A three-handed match, with the world as spectators, between three ferocious beasts – The American eagle, the Russian bear, and the Chinese dragon.

EPISODE 4 – A Time for Lies

Peak oil – the point in time at which the highest rate of oil extraction has been reached, and after which world production will start decline. Many geologists and the International Energy Agency say the world’s crude oil output reached its peak in 2006.

But while there may be less oil coming out of the ground, the demand for it is definitely on the rise.

The final episode of this series explores what happens when oil becomes more and more inaccessible, while at the same time, new powers like China and India try to fulfill their growing energy needs.

And countries like Iran, while suffering international sanctions, have welcomed these new oil buyers, who put business ahead of lectures on human rights and nuclear ambitions.

At the same time, oil-producing countries have had enough with the Seven Sisters controlling their oil assets. Nationalisation of oil reserves around the world has ushered in a new generation of oil companies all vying for a slice of the oil pie.

These are the new Seven Sisters.

Saudi Arabia’s Saudi Aramco, the largest and most sophisticated oil company in the world; Russia’s Gazprom, a company that Russia’s President Vladimir Putin wrested away from the oligarchs; The China National Petroleum Corporation (CNPC), which, along with its subsidiary, Petrochina, is the world’s secnd largest company in terms of market value; The National Iranian Oil Company, which has a monopoly on exploration, extraction, transportation and exportation of crude oil in Iran – OPEC’s second largest oil producer after Saudi Arabia; Venezuela’s PDVSA, a company the late president Hugo Chavez dismantled and rebuilt into his country’s economic engine and part of his diplomatic arsenal; Brazil’s Petrobras, a leader in deep water oil production, that pumps out 2 million barrels of crude oil a day; and Malaysia’s Petronas – Asia’s most profitable company in 2012.

Mainly state-owned, the new Seven Sisters control a third of the world’s oil and gas production, and more than a third of the world’s reserves. The old Seven Sisters, by comparison, produce a tenth of the world’s oil, and control only three percent of the reserves.

The balance has shifted.

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WATCHERS OF THE SKY (Directed by Edet Belzberg – 2014 – 120 minutes) #HotDocs

Watchers of the Sky

“Love despite difference, 
Or rather because of difference.”

Raphael Lemkin (1900-1959)

ABOUT THE FILM

WATCHERS OF THE SKY interweaves four stories of remarkable courage, compassion, and determination, while setting out to uncover the forgotten life of Raphael Lemkin – the man who created the word “genocide,” and believed the law could protect the world from mass atrocities. Inspired by Samantha Power’s Pulitzer Prize-winning book, A Problem From Hell, WATCHERS OF THE SKY takes you on a provocative journey from Nuremberg to The Hague, from Bosnia to Darfur, from criminality to justice, and from apathy to action.

http://www.watchersofthesky.com/about-the-film

MOVIE INFO

With his provocative question, “why is the killing of a million a lesser crime than the killing of an individual?” Raphael Lemkin changed the course of history. An extraordinary testament to one man’s perseverance, the Sundance award-winning film Watchers of the Sky examines the life and legacy of the Polish-Jewish lawyer and linguist who coined the term genocide. Before Lemkin, the notion of accountability for war crimes was virtually non-existent. After experiencing the barbarity of theHolocaust firsthand, he devoted his life to convincing the international community that there must be legal retribution for mass atrocities targeted at minorities. An impassioned visionary, Lemkin confronted world apathy in a tireless battle for justice, setting the stage for the Nuremberg trails and the creation of the International Criminal Court. Inspired by Samantha Power’s Pulitzer Prize-winning book A Problem From Hell, this multi-faceted documentary interweaves Raphael Lemkin’s struggle with the courageous efforts of four individuals keeping his legacy alive: Luis Moreno Ocampo, Chief Prosecutor of the ICC; Samantha Power, U.S. Ambassador to the United Nations; Ben Ferencz, a former Nuremberg prosecutor still tenaciously lobbying the UN for peace, and Rwandan Emmanuel Uwurukundo, UN Refugee Agency Field Director in Chad. Alternating live interviews with rare archival footage and striking animation, Watchers of the Sky illuminates the compassion and bravery of these humanitarians and powerfully demonstrates the ability of global activism to give a voice to the silent victims of genocide.(C) Music Box

REVIEW BY TORONTO’S NOW MAGAZINE

Rating: N N N N N (5 stars)

“A bracing and heart-wrenching look at genocide over the past century, Edet Belzberg’s documentary could become a vital instrument of change.

Bouncing back and forth between the story of Raphael Lemkin, who in the 1940s tirelessly tried to get the UN to amend its definition of war crimes, to first-hand witnesses to ethnic cleansing in Bosnia, Rwanda, Argentina, Germany and Darfur, Belzberg paints a comprehensive picture of history depressingly repeating itself due to a lack of proper legal deterrents to these atrocities.

Belzberg’s thesis is solidly backed up and needs no dramatic embellishment. It stands alongside The Act Of Killing as one of the best films made on such a delicate subject.”

NOW Magazine (Toronto, Canada)

OTHER REVIEWS

Rotten TomatoesRoger Ebert

TRAILER

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The Act of Killing - DOWNLOAD TORRENT.

The Act of KillingDOWNLOAD FILM (TORRENT). The Act of Killing is an award-winning documentary that examines a country where death squad leaders are celebrated as heroes. The filmmakers challenge the killers to reenact their real-life mass murders in the style of the American movies they love.  Director: Joshua Oppenheimer. Executive Producers: Werner Herzog and Errol Morris.

RECOMMENDED BOOKS TO KNOW MORE

A Problem from Hell: America and the Age of Genocide

SAMANTHA POWER – A Problem from Hell: America and the Age of Genocide. Download FREE EBOOK at libgen.org in MOBI or EPUB format [3 mb each].

“As I surveyed the major genocides of the twentieth century, a few stood out. In addition to the Bosnian Serbs’ eradication of non-Serbs, I examined the Ottoman slaughter of the Armenians, the Nazi Holocaust, Pol Pot’s terror in Cambodia, Saddam Hussein’s destruction of Kurds in northern Iraq, and the Rwandan Hutus’ systematic extermination of the Tutsi minority. Although the cases varied in scope and not all involved the intent to exterminate every last member of a group, each met the terms of the 1948 genocide convention and presented the United States with options for meaningful diplomatic, economic, legal, or military intervention. The crimes occurred in Europe, Asia, the Middle East, and Africa. The victims covered a spectrum of races and religions – they were Asian, African, Caucasian, Christian, Jewish, Buddhist, and Muslim.

The perpetrators operated at different stages of American might: The Armenian genocide (1915-1916) was committed during World War I, before the United States had become a world leader. The Holocaust (1939-1945) took place just as the United States was moving into that role.The Cambodian (1975-1979) and Iraqi (1987-1988) genocides were perpetrated after the Holocaust but during the Cold War and after Vietnam. Bosnia (1992-1995) and Rwanda (1994) happened after the Cold War and while American supremacy and awareness of the “lessons” of the Holocaust were at their height. U.S. decisionmakers also brought a wide variety of backgrounds and foreign policy ideologies to the table. Every American president in office in the last three decades of the twentieth century – Nixon, Ford, Carter, Reagan, Bush, and Clinton – made decisions related to the prevention and suppression of genocide. Yet notwithstanding all the variety among cases and within U.S. administrations, the U.S. policy responses to genocide were astonishingly similar across time, geography, ideology, and geopolitical balance…

A grant from the Open Society Institute enabled me to travel to Bosnia, Cambodia, Kosovo, and Rwanda, where I spoke with victims, perpetrators, and bystanders. I also visited the international war crimes tribunal for the former Yugoslavia at The Hague in the Netherlands, as well the UN court for Rwanda, located in Arusha, Tanzania.

People have explained U.S. failures to respond to specific genocides by claiming that the United States didn’t know what was happening, that it knew but didn’t care, or that regardless of what it knew, there was nothing useful to be done. I have found that in fact U.S. policymakers knew a great deal about the crimes being perpetrated. Some Americans cared and fought for action, making considerable personal and professional sacrifices. And the United States did have countless opportunities to mitigate and prevent slaughter. But time and again, decent men and women chose to look away. We have all been bystanders to genocide. The crucial question is why.

In exploring a century of U.S. reactions to genocide, I asked: Were there early warnings that mass killing was set to commence? How seriously were the warnings taken? By whom?

In 1915 Henry Morgenthau Sr., the U.S. ambassador in Constantinople, responded to Turkey’s deportation and slaughter of its Armenian minority by urging Washington to condemn Turkey and pressure its wartime ally  Germany. Morgenthau also defied diplomatic convention by personally protesting the atrocities, denouncing the regime, and raising money for humanitarian relief. He was joined by former president Theodore Roosevelt, who went a step further, calling on the administration of Woodrow Wilson to enter World War I and forcibly stop the slaughter. But the United States clung to its neutrality and insisted that Turkey’s internal affairs were not its business. An estimated 1 million Armenians were murdered or died of disease and starvation during the genocide.

Watchers of the Sky 3

Raphael Lemkin, a Polish Jew and international lawyer, warned about Hitler’s designs in the 1930s but was scoffed at. After finding refuge in the United States in 1941, he failed to win support for any measure to protect imperiled Jews. The Allies resisted denouncing Hitler’s atrocities, granting refuge to Europe’s Jewry, and bombing the railroad tracks to the Nazi concentration camps. Undaunted, Lemkin invented the word “genocide” and secured the passage of the first-ever United Nations human rights treaty, which was devoted to banning the new crime. Sadly, he lived to see the genocide convention rebuffed by the U.S. Senate. William Proxmire, the quixotic U.S. senator from Wisconsin, picked up where Lemkin left off and delivered 3,211 speeches on the Senate floor urging ratification of the UN treaty. After nineteen years of daily soliloquies, Proxmire did manage to get the Senate to accept the genocide convention, but the U.S. ratification was so laden with caveats that it carried next to no force.

A handful of U.S. diplomats and journalists in Cambodia warned of the depravity of a sinister band of Communist rebels known as the Khmer Rouge. They were derided by the American left for falling for antiCommunist propaganda, and they failed to influence a U.S. policy that could not contemplate engagement of any kind in Southeast Asia after Vietnam. Pol Pot’s four-year reign left some 2 million Cambodians dead, but the massacres elicited barely a whimper from Washington, which maintained diplomatic recognition of the genocidal regime even after it had been overthrown.

Peter Galbraith, a staff member of the Senate Foreign Relations Committee, drafted punishing legislation for his boss, Senator Claiborne Pell, that would have cut off U.S. agricultural and manufacturing credits to Saddam Hussein in retaliation for his 1987-1988 attempt to wipe out Iraq’s rural Kurds. The sanctions package was defeated by a determined White House, State Department, and U.S. farm lobby, which were eager to maintain friendly ties and sell rice and wheat to Iraq. And so Hussein’s regime received generous American financial support while it gassed and executed some 100,000 Kurds.

Romeo Dallaire, a Canadian major general who commanded UN peacekeeping forces in Rwanda in 1994, appealed for permission to disarm militias and to prevent the extermination of Rwanda’s Tutsi three months before the genocide began. Denied this by his political masters at the United Nations, he watched corpses pile up around him as Washington led a successful effort to remove most of the peacekeepers under his command and then aggressively worked to block authorization of UN reinforcements.The United States refused to use its technology to jam radio broadcasts that were a crucial instrument in the coordination and perpetuation of the genocide. And even as, on average, 8,000 Rwandans were being butchered each day, the issue never became a priority for senior U.S. officials. Some 800,000 Rwandans were killed in 100 days.

No U.S. president has ever made genocide prevention a priority, and no U.S. president has ever suffered politically for his indifference to its occurrence. It is thus no coincidence that genocide rages on…”

SAMANTHA POWER A Problem from Hell: America and the Age of Genocide.

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